Is this bad?

Cardiff-Chris

Hi,

I have had a look at various mortage advice posts on this place recently and must say i am a bit confused.

I have been on money supermarket and have gotten this quote:

LenderDirect Line
Product NameFix 2yrType of MortgageFixed
Initial Rate6.89%
APR2.90%
Max LTV90%
Actual Cost Over 5 Years£30,211.70
Monthly Repayments£633.29
Scheme DurationTo June 2011
Lender's Base Rate2.00%

Now I have seen everyone say that it should fix your rate for as long as possible but in this instance i am not sure why. Surely it would be good to get off the 6% rate and down to the 2%? It certainly is the cheapest on money supermarket for a 10% deposit mortage.

Any advice you could give would be great, and im sorry if my question makes me seem like a moron!:p

happybroker

there are cheaper rates out there than this Chris, do your own research and utilise the services of a quality whole of market broker to see what you can get.

be aware though, you will have to score really well to get 90% lending at the moment.

all the best

herbiesjp

There are definitely cheaper deals

But you would have to see if you fit the lending criteria of those lenders (along with First Direct)

Make sure you speak to a whole of market adviser who can look at all deals for you, as well as the direct only deal you have posted above

Cardiff-Chris

Thanks for your help so far guys

Time for some more stupid questions I'm afraid.

1) is there anywhere in particular that you reccomend for a first time buyer? I think i read that natwest was good?

2)Where would we go to get advice on all this sort of thing?

happybroker

Natwest are a bit different for us guys, part of the RBS group and do buy to let and commercial finance for intermediary business.

Speak to friends and family, try to get a recommendation to a quality whole of market broker. It's always best if you can use some one that has been tried and tested by some one you trust. (the broker might even give them a reward of some sort for the referral!!_

chubster1960

I've used London & Country Mortgages in the past & found them to be good.