Paying mortgage in full - What is the process?

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jonherries

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#1995080 12-Apr-2018 22:05

muppet:
It's pretty easy:

Step 1) Walk into branch of bank.

Step 2) Locate a Teller.

Step 3) Say to the Teller "Hello, I'd like to pay off my mortgage please". Note: Saying the word "Hello" is optional.

Step 4) Follow instructions of Teller.

Step 5) Depart bank.

Step 6) Die happy (this step can be delayed for a period of time if you like)

Step 7) Profit...

eracode

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#1995127 13-Apr-2018 01:39

mattwnz:
eracode: This in itself may help shape potential purchasers’ views and actions regarding purchasing your home.

Not sure how, because it is fairly normal to have a mortgage. Older people selling should have paid their one off by retirements. Although I have seen many who haven't, because they have borrowed against their house to start or run a business etc. IMO it shouldn't make much difference to potential buyers, unless you think they could be desperate to sell due to needing the money, or can't keep up with mortgage payments etc

Yeah - well I did say ‘may’. It’s just that if I was selling a house and owed no money on it, I would prefer that the Title Search did not show a mortgage against the property - a mortgage may imply that there’s money owing on the house. An unemcumbered title makes it clearer that I am under less pressure to sell. Simpler, cleaner, more accurate. But that’s just me.

Sometimes I just sit and think. Other times I just sit.

tdgeek

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#1995214 13-Apr-2018 09:34

Kraven:

When we did this we shifted the mortgage onto a Revolving Credit account with a modest limit as our bank does these for $0 per month. Same interest rate as floating. This way you're free to borrow against the mortgage when you need it without getting the bank or lawyers involved. Useful if something unexpected happens or you make a large purchase (eg. new car).

We have this. But when a change was made (paying it down from the sale of a house) we lost that function. Bank said, due to the laws regarding lending restrictions we have to re apply. GRRR So we did, just to have that large sum of our money freely available. Then the other day the bank, who have have a close relationship with, said they can drop the interest rate on the smallish mortgage we now have. Again, I now see we have no gazillions available, due no doubt to a "change" I find this tiresome.

kryptonjohn

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#1995220 13-Apr-2018 09:42

The banking rule changes seemed to have arrived at the same time that the larger banks (in our experience, BNZ) were aggressively dropping their customer appeasement levels.

When we were looking at auctions in around 2014, BNZ were falling over themselves to make it easy. We were going to buy before selling and capitalised bridging finance was no problem. Didn't end up buying at the time. Then in late 2015 had another prospect and the BNZ was absolutely useless. It was like they didn't know me anymore, despite being with them for generations of family. We only needed 50% equity whole owning both properties temporarily so about as low risk as it gets. Despite all this it was death of a thousand cuts.

So I gave them the finger and shifted to Kiwibank (who's very existence I was philosophically opposed to!) - they're not as good as BNZ used to be, but are a whole lot better that BNZ have become. And the guy who signed me up then is still looking after me now whereas BNZ seemed to have a new talking suit every six months.

Being a business owner rather than an employee makes it harder.

afe66

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#1995334 13-Apr-2018 11:05

When we got our mortgage we arranged a meeting with banking reps to come to a meeting room at work.

Gave the same time to 2 different bank reps who both turned up, looked surprised, then had to compete there are then for our business....

Bit like reverse auction with them both dropping interest, fees etc.

Finally power to the customer.

kryptonjohn

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#1995337 13-Apr-2018 11:06

afe66:

When we got our mortgage we arranged a meeting with banking reps to come to a meeting room at work.

Gave the same time to 2 different bank reps who both turned up, looked surprised, then had to compete there are then for our business....

Bit like reverse auction with them both dropping interest, fees etc.

Finally power to the customer.

Classic. Evil, but classic.

eracode

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#1995358 13-Apr-2018 11:28

afe66:
When we got our mortgage we arranged a meeting with banking reps to come to a meeting room at work.

Gave the same time to 2 different bank reps who both turned up, looked surprised, then had to compete there are then for our business....

Bit like reverse auction with them both dropping interest, fees etc.

Finally power to the customer.

Love this! Never heard of that being done before - brilliant.

Sometimes I just sit and think. Other times I just sit.

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