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V.V.Confused
MUMMYDARLING_2
Posts: 4 Newbie
Hi Everyone!
It's my first time on the Forum and just wondering if anyone could give me some advice regarding Mortgages. Our fixed rate is due to end in feb 08 after 7 years, currently with Abbey, and trying to work out what to do in the current climate? Toying with the idea of changing to interest only for a while until some better deals come along or would it be better to change to a variable rate and see who is doing the best deal for variable or to just let it convert into the standard variable rate and wait it out.......
As I say V V V Confused
any advice would be gratefully received:j
It's my first time on the Forum and just wondering if anyone could give me some advice regarding Mortgages. Our fixed rate is due to end in feb 08 after 7 years, currently with Abbey, and trying to work out what to do in the current climate? Toying with the idea of changing to interest only for a while until some better deals come along or would it be better to change to a variable rate and see who is doing the best deal for variable or to just let it convert into the standard variable rate and wait it out.......
As I say V V V Confused
any advice would be gratefully received:j 0
Comments
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I'm sure you mean Feb 09
Switching to interest only may not be possible.
What happens in Feb 09? I would wait until early in the New Year and see what is available.
Chances are tha BofE base rates will have been cut by another 1.5% and fixed rates will be available at an all-time low. Maybe 3.5% ish?
What rate are you on and how much did you borrow originally?
GGThere are 10 types of people in this world. Those who understand binary and those that don't.0 -
Hi GG,
Yes 2009 sorry - having a bad day!!
Originally borrowed approx £140,000 but topped it up with a variable loan for home improvements £30,000 now needing a new re-mortgage of around £150K!!
MD0 -
Sorry told you it was a bad day - rate was 5.95:rolleyes:0
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I estimate your repayments at £1,040.
If you can secure a 4% deal you should see repayments fall to £878 over 21 years. You could reduce it further by remortgaging over 25 years making your repaymets £790-ish.
GGThere are 10 types of people in this world. Those who understand binary and those that don't.0 -
That sounds better!!! I know this is probably a silly question but please bear with me this was my first mortgage and hubby leaves me to sort out the finances!!! If I do not find a decent deal before the fixed rate is up - will it automatically transfer to a variable rate without further costs so that I can decide to change when I find one? I really think I should dig out all the paperwork and have a good read up............. 7years of not worrying about all the pro's and con's of new mortgages... thanks for your help!0
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Yes, it will probably revert to SVR but some revert to a tracker which could be even better. You don't have to do anything.
GGThere are 10 types of people in this world. Those who understand binary and those that don't.0
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