2 or 3 year fixed rate?

secondtoughest

Hi, I'm a FTB with a 15% deposit.

I have been recommended either the Nationwide 2 year fix at 5.84% (£995 fee) or the Halifax 3 year fix at 5.84% (£995 fee) and have been approved for both.

I'm not sure which one to go for?

The flat I'm buying is a repossessed property being sold by the Halifax so obviously they are leaning on me slightly by saying they can get things done quicker if I stay 'in house'.

feisty1

Who has recommended you? Have you just gone to one lender or have you sought advice?

secondtoughest

I saw an impartial mortgage advisor first who recommended Nationwide. Then I saw the Halifax mortgage advisor who obviously recommended theirs!

feisty1

and the independent, did they recommend a 2 or 3, what was the reason for 2 or 3 years

chloecc

I'd go for the three year but thats only because i like to have piece of mind knowing i can afford my mortgage. If you're planning on staying there a while i'd say 3 yr

secondtoughest

The mortgage advisor recommended the 2. I didn't know Halifax matched the rate until I saw them a few days later.

Reasons for 2: Nationwide SVR lower, banked with Nationwide before and like them (might sound silly but kind of important to me)

Reasons for 3: Dont have to re-mortgage for 3 years, Halifax are obviously saying to me that they can process everything within 28 which is when the reposession sale needs to go through

feisty1

for ftb 3 or 5 is good for security of budgeting........