I own a house but have inherited money. Should I use it to overpay my mortgage?

['Nicholas Mendes', '.Wp-Block-Co-Authors-Plus-Coauthors.Is-Layout-Flow', 'Class', 'Wp-Block-Co-Authors-Plus', 'Display Inline', '.Wp-Block-Co-Authors-Plus-Avatar', 'Where Img', 'Height Auto Max-Width', 'Vertical-Align Bottom .Wp-Block-Co-Authors-Plus-Coauthors.Is-Layout-Flow .Wp-Block-Co-Authors-Plus-Avatar', 'Vertical-Align Middle .Wp-Block-Co-Authors-Plus-Avatar Is .Alignleft .Alignright'] The i Paper 2025-09-30 06:00:00

Question: I have a mortgage that is expiring next year at 90 per cent loan-to-value (LTV). I now have a gift from my parents that I could use to add to the initial deposit and make it a 75 per cent LTV mortgage when I get a new deal. The mortgage market is structured around LTV bands, and 75 per cent is one of the points where rates are at their most competitive. When you begin comparing mortgage products, you will find that being at 75 per cent LTV really does make a difference. Finally, while it is tempting to throw every penny at the mortgage, it is worth keeping some money back as a safety net.