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Variable / Tracker Rates

What is the benefit of a variable rate mortgage over the tracker mortgage?

I can`t see any benefit when I am seeing the tracker rates cheaper than variable and with the assurance that if BBR decreases the tracker rate will follow.

Comments

  • Tracker rates are great but to get a good tracker you either need a massive deposit, or a lot of equity in your property, there is also a fee attched to a tracker.

    To be honest the svr rate is coming down, but i cant find a bank thats offering a straight svr mortgage with no fee, they all seem to have gone.

    The only people who are going to benefit at the moment are people who are coming off deals and will be automatically put on the low svr rates as they have no equity in there houses.

    confused
    I am not a Mortgage Adviser
    You should note that this site doesn't check my status as not being a Mortgage Adviser, so you need to take my word for it. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice.
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