Psyxologos Posted January 9, 2012 Report Share Posted January 9, 2012 I am on a 7 years fixed on 3.5% I think I got lucky... Quote Link to comment Share on other sites More sharing options...
twitchynik Posted January 9, 2012 Report Share Posted January 9, 2012 I am on a 7 years fixed on 3.5% I think I got lucky... With the right LTV you've been able get sub 4% 5yr fixes for a while now. Nationwide have been offering one at 3.59% for a few months, for example. Very tempting especially given many lenders hiked their SVR rates to around the 4% mark a few years back. Quote Link to comment Share on other sites More sharing options...
al4x Posted January 9, 2012 Report Share Posted January 9, 2012 i think its around 6% ish but cant remember.. Versus 1.39% on my tracker is it worth fixing when the odds on paying more than 6% in the forseeable future is remote? I'm offset so no issue with interest but the point remains that keeping savings and having a mortgage does give you a buffer and means were rates to rise fast you could still cover costs for longer. Interesting if you can withdraw money you've overpaid, though I'm guessing if you lost your job and went to them it would be easier said than done. Quote Link to comment Share on other sites More sharing options...
Brown Sauce Posted January 9, 2012 Report Share Posted January 9, 2012 Personally I'm Fixed rate, with an offset account. You know where you are with repayments during the term, can overpay into the offset and withdraw funds should it be needed. Yes being out of any fixed, discounted or tracker deal and on variable at this time will save you a percentage point or 2, but when the bank of england rate rises (which it will do) watch every mortgage lender in the market increase their rate's instantly. At which point all those on SVR will be attempting to get a lowest rate they can. Lenders only have a certain tranche of money assigned to each available rate, so when it gone its gone. Good luck Quote Link to comment Share on other sites More sharing options...
twitchynik Posted January 9, 2012 Report Share Posted January 9, 2012 If and when the bank rate rises it will only be due to a much improved economy. That will mean more money in people's back pockets. That will lead to more movement in the housing market thus more demand for mortgages resulting more competitive products. Given that margins are high now there is room for lenders to trim them once more people are asking to borrow. IMHO, of course Agree that an offset product is the way to go, best of both worlds. Tax on your savings interest will wipe out any potential gain over reducing your terms interest charges by overpaying or offsetting. But there again you can't beat cold hard cash in a time of need. You makes your choice.... Quote Link to comment Share on other sites More sharing options...
ferguson_tom Posted January 9, 2012 Report Share Posted January 9, 2012 I took the punt of variable for 2 years for our first mortgage as rate was a lot better but in September when we come to renew its going to be fixed over 4 years. Just cant risk the bank rate going up which it will definitely do in the next few years especially once europe sorts itself out. Quote Link to comment Share on other sites More sharing options...
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