Penalty for paying off investment mortgage early?

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Do banks charge a penalty if you sell and pay your mortgage off early?

14 years in to a 30 year mortgage.

 

[Brendan Burgess]

I have edited the title as I assume you are referring to an investment property mortgage?

For home loans...

They are not allowed to charge a penalty on variable rate mortgages.

They can charge a break fee on fixed rate mortgages.

I have not heard of banks charging break fees for Buy to Let properties, although Irish Nationwide used to charge a break fee. The Ombudsman ruled that it must reflect the cost and so reduced it significantly.

Brendan