Remortgage

mealmond

Hi

I am currently in a 10 years fixed rate mortgage of 5.45% with 7 years to run on that deal. I have 19 years of the mortgage left to pay.

Within this mortgage I can change the mortgage after five years with no penalties, or just stay with the mortgage at the fixed rate.

However, there is a possibility, as yet to be confirmed, for a certain period, within the next couple of months, I will have a period where I can change lenders with no cost to me, they are having a period of no charge to take some mortgages off their books.

I am also aware of a deal that may be coming up, a fixed rate for five years at 4.49%.

My thoughts were to change to the new deal, but instead of enjoying the lower payments, I will keep the payments around the same figure I am now paying but lower the number of years to pay the mortgage.

With rough figures, I think it should take the mortgage length down by two years, to 17 years.

Of course I would look for another fixed deal towards the end of the five year fixed deal.

I forgot to say, with the new deal, all legal costs etc wold be covered, so there would be no costs to me.

Cost wise, I thinks it is a good idea, I just wondered what other people thought.


Thanks


Martin

tbrain

Sounds like a win win! Out of interest, which lender is this?

mealmond

I would rather not say who the new mortgage would be with yet, the deal is not official yet, I heard through a friend of a friend.

I just thought rather than enjoy lower payments, as I am comfortable with the present payments, just lower the term.