Best Mortgage?

M0neysav3r

Hi All

Is there such a thing as the best deal around at the moment?
We are coming to the end of a term with Halifax and are just starting to look around at what is available at the moment, I have had a quick look on moneysupermarket etc and there is a deal which Woolwich/Barclays are offering.

Product Type:
Mortgage Lender:
Initial Rate:
Period of initial rate:
Subsequent Rate:
The Overall Cost for Comparison:

5.69% Fixed rate until 31/01/2019
Woolwich Plc
5.69%
123 months
5.59% for 153 months
5.90% APR

Does this seem a reasonable product?

Should also mention, property value apx £230,000 and mortgage is £135,000, term 23yrs.
We would dearly love to cut the term or make over payments, which is best to do?

Do you think the recent rate cut may have an affect on mortgage products in the coming weeks / months?

Am I best to look for a low interest rate or the fees first?

Sorry for waffle, any help or advice appreciated.
Many Thanks

feisty1

Is there such a thing as the best deal around at the moment? The answer is yes & no, based on their is not a best deal for everyone otherwise we would all have the same mortgage however their will be a best deal for YOUR circumstances.

You are looking at a fixed rate for 10yrs, things to consider, yr tied in for 10yrs to the same rate, good if rates go up but if rates come down? Is this mortgage portable (can move with you) life's circumstances change over 10yrs if u had to move could you take the mortgage also. Redemption penalties applied to a 10yr fixed? Overpayments on a fixed rate are normally restricted to a annual maximum

Interest rate cuts are not necessarily been reflected in all mortgage rates, what is determining most things at the moment is the rate banks are selling money to each other at


Yr mortgage is under 60% LTV which means you should be able to access more favourable rates, the lower LTV the lower the risk, hopefully lower the rate


Maybe worth considering an offset tracker, be careful of what you can overpay in the first few yrs some have restrictions, some may ask u to move all yr banking others not

hope this at least gets u thinking

M0neysav3r

Hi
Thanks for the reply
I have just been looking at the First Direct tracker product
4.99% Offset Base Rate Tracker Mortgage (available when remortgaging from another provider)

Tracks the base rate plus 0.49% for the life of the mortgage, currently 4.99%
The overall cost for comparison is 5.2% APR.
(An arrangement fee of £999 applies)
Mortgage funding for this offer is limited and rates can be withdrawn at any time, without notice.

I called the helpline and have a date for someone to call me but they have been inundated with calls and cant get back to me for 10 days! I'm in no rush though and the guy on the phone said as I have shown an interest in the product then it is still possible to have it even if it is withdrawn tomorrow.

I must now start to write a list of questions to ask when they call back, so one will be about making overpayments and any restrictions they have on that.
Whay else should I ask?

It sounds like the best thing for us at the moment as it has no tie ins like the Woolwich fixed rate does. and if rates go up then maybe we could look at moving to a fixed rate then - Do you think that is a good idea?

Many Thanks Again

feisty1

If i had a £ for evertime I have heard this i could retire!!

"the guy on the phone said as I have shown an interest in the product then it is still possible to have it even if it is withdrawn tomorrow" I would not bank on this Lenders buy a certain amount of money at a certain rate, that's how they allocate deals at certain rates when it's gone it's gone & when they buy again determines what they lend at I have just read a post on here from someone who has his rmtg telephone call confirmed for the 20th October at a time of day to suit the lender not the client

M0neysav3r

Hmmmm. Well not much I can do other than keep looking round the market and wait to speak to FD on 21st....