Unexpected lump sum: Can I negotiate figure if clearing mortgage?

[Darn Blond Neon]

Hello all…

Not sure if this is the right section, so feel free to move if it's not…

I have a (performing) commercial / investment mortgage for an office property.

It was originally taken out with PTSB, but was sold by them to Havbell - presumably at a discount. This followed a negotiation with PTSB when I offered a lump sum in return for a longer term and a lower rate, to make the repayments more manageable.

Due to a serious illness, I will be receiving an insurance payout that will allow me to clear the mortgage.

To stretch the insurance payout as long as I can – as I'm self-employed and unlikely to work for the next year or so – I want to negotiate with Havbell to see if they'll reduce the amount required to clear the mortgage if I'm paying it off in full.

Anybody have any experience with this? Is it a pipe-dream, or a possibility?

There is approx €250k left on the mortgage, and the property is worth around that, in theory. (But no recent sales to provide hard data.) I'll be continuing to let out the office and use the rental income a source of income.

 

[Brendan Burgess]

The only way to find out is to ask. If you are not in arrears it’s unlikely

 

[Darn Blond Neon]

Thanks, Brendan – I figured there was a slim chance, but I'll give it a try.

 

[Ravima]

I wouldn't be telling them everything though. It might be better just to post the question that if you could raise a loan with another institution, how much would they be happy with to clear your loan? if they think you have money, they'll be hungrier!!

 

[noproblem]

I'd imagine that like revenue they're also tuned into this site watching what's going on.