Anybody beat this tracker ??????

HangTime

dannykos wrote: »

that maybe so - but 51% (approx) of UK mortgages are fixed rate - most likely in the 4-7% range, so the banks can hardly complain about other deals with lower average rates, as I'm sure it evens out to be still 3-4% above base for them on average.

True, but that doesn't mean to say that the banks won't want to make more money from their tracker customers. When we remortgaged just over a year ago, we got a +0.59% lifetime deal with no arrangement or valuation fee (and to answer the above poster, nobody came to do an internal appraisal!) as with it being a relatively small balance outstanding we didn't want to cough up any fees. To all intents and purposes, our deal was just like an SVR product except much cheaper and guarenteed to follow the base rate. Those type of deals simply aren't available now, as even if they are raking in the cash from fixed rate customers, lenders have wisened up to fact that trackers used to be underpriced (with respect to a faltering economy).

kazd

We only paid £99 for a driveby viewing, took a bit of a chance as last house on shared drive. My husband thinks someone turned up the other night about 8.30 as a car pulled right up in front of our house. Have received the mortgage documents today (the ones that need to be witnessed) so not sure if that means the valuation has been done or not.

CountingPenniesClaire

We remortgaged with FD on 2 Feb, after our 5.69% 7 year fix with NR expired on 2 Feb . Well before the expiry date (back in Sept just before all the trackers got withdrawn) we booked a offset tracker of BOE +0.79 with no ERC or fees (even valuation). We've been impressed with them to date and made some considerable savings since moving from a 5.69% 7 year fix from NR. We're offsetting around £15,000 and overpay each month by about £1500. Our aim is to pay off the mortgage as soon as possible. We started off owing £150k in Nov 2001 and now owe £93k. We reckon as long as we keep our jobs and don't have to take any cuts in pay (and we keep a careful eye on what's happening in the financial world) we should be on target to clear it within 3 months.

As for FD, the mortgage is ideal for us right now, but we'll be keeping an eye on interest rates and economic climate. We may fix in if it looks like something calamitous is about to happen. The only issue we had with FD was a "keying" error which meant FD underpaid NR by about £300 for 5 days and accrued £97 interest payable to NR. I think they thought we might pay it 'til we told them to jog on. Think they were trying their luck but they did sort it out with no cost to us - damn right!

Enigmatic_Me

Interesting thread. I work for a Financial Adviser and FD 1.89% offset product is better than anything my boss can get me through their Network so I am in the process of remortgaging to them. It means I will pay a £1700 penalty on my Nationwide 10 year 6.13% fixed (why on earth did I take that out) however I am knocking 6 months off my term which will save just short of £4,500.

Thing is when I took the 10 year fixed out in Oct 2007, nobody would have dreamed that interest rates would come down as low as they are now.

I intend using the offset as best I can, salaries paid in, savings etc to hopefully pay mortgage off quicker.

I received all our documents back last week from FD and when I phoned for an update on Thursday I was told drive by val has been instructed. Never received a text though and they did say I would??

Trying_to_be_good

sugarbabe61 wrote: »

It means I will pay a £1700 penalty on my Nationwide 10 year 6.13% fixed (why on earth did I take that out) however I am knocking 10 years off my term which will save just short of £4,500.

This is on the huge assumption that rates will stay as low as they currently are, for the whole of what was your fixed rate period. They won't, and no-one knows how high they will go. I'm sure you are aware, and others need to be, that you're giving up the security of your fixed rate and must be prepared for some rises on your tracker rate during the life of the mortgage. And be prepared to pay another arrangement fee etc if you need the security of a fixed rate in the future.

Enigmatic_Me

Trying_to_be_good wrote: »

This is on the huge assumption that rates will stay as low as they currently are, for the whole of what was your fixed rate period. They won't, and no-one knows how high they will go. I'm sure you are aware, and others need to be, that you're giving up the security of your fixed rate and must be prepared for some rises on your tracker rate during the life of the mortgage. And be prepared to pay another arrangement fee etc if you need the security of a fixed rate in the future.

I know, I have deliberated long and hard over this. When I took the 10 year fixed out it was to avoid paying arrangement fees every couple of years but here we are 18 month later and the whole market has changed. I realise that rates will probably rise over our 10 year term, however I will have to take that chance and realise that I may well be faced with further arrangement fees? If only I had a crystal ball??

getmore4less

Trying_to_be_good wrote: »

This is on the huge assumption that rates will stay as low as they currently are, for the whole of what was your fixed rate period. They won't, and no-one knows how high they will go. I'm sure you are aware, and others need to be, that you're giving up the security of your fixed rate and must be prepared for some rises on your tracker rate during the life of the mortgage. And be prepared to pay another arrangement fee etc if you need the security of a fixed rate in the future.

First direct have had some of the best deals arond for a while now, Barclays hade some great deals with tracker follow on rates or offsets with base + tiny amounts and no/low fees.

There are loads that have no NEED for a fix they can take the risk of payments going up, plans are for masive overpayments or offseting so the future higher rates are covered anyway.

A few months with low rates have current fees covered and likely future fees covered not long after and then it is saving till the signs are jump in and fix.

Is a call but if rates stay low(<4%) for around 2 years most people will be better off going for the low rates now if they can keep the fees down.

dannykos

only thing to remember with the FD deal is the valuation fee (approx £200), the product fee (£799), and the exit fee (£149 on ALL products).

I was thinking of going onto this deal for a year or so - but with the fees stacking up, the HSBC 3.99% 5yr fix is probably the better option for me.

Enigmatic_Me

dannykos wrote: »

only thing to remember with the FD deal is the valuation fee (approx £200), the product fee (£799), and the exit fee (£149 on ALL products).

I was thinking of going onto this deal for a year or so - but with the fees stacking up, the HSBC 3.99% 5yr fix is probably the better option for me.

Hi there

I have just checked the HSBC website and got a quote for the 3.99 fixed but there is a £999 arrangement fee? Also they have a scale of valuation fees. The fixed rate without any arrangement fee would appear to be 4.99%. The only charge they so not seem to have for all products is an exit charge.

My valuation fee with FD was £99 which was for a "drive by"

dannykos

they never offered me a drive by price when I spoke with them... hmm..

anyhow - the £999 fee for a 5 year fix works out much better than £799 if I'm not going to stay on the FD tracker for more than a year or so.