4 fixed rate mortgages - pick one...

Llyllyll

After procrastinating over the 3.99% A&L deal and therefore missing it I've come up with 4 current fixed rate mortgages to choose from. I am looking for the best overall value over the term of the mortgage.

Mortgage is £45k and LTV is circa 30% - which one of these would you pick?

• HSBC at 4.24% over 5 years (Fee of £599)
• RBS at 4.99% over 5 years (Fee of £299)
• Principality at 4.99% over 4 years (Fee free) - current provider
• A & L at 5.30 over 5 years (fee free)

Thanks in advance for any input.

_Andy_

Depends what's most important to you - are you wanting the lowest initial payment or best overall value over X term?

Llyllyll

_Andy_ wrote: »

Depends what's most important to you - are you wanting the lowest initial payment or best overall value over X term?

Original post now updated. Thanks.

elsien

Is the fee free bit just the arrangement fee, or does it also cover any valuations, legal fees etc? How much will these cost for each of the deals if not already covered in the fees you've given?
I'm presuming you'll look for another deal at the end of the term, so the comparison is for 4 or 5 years, not the full mortgage term, as otherwise you'll need to compare their SVR's.
All else being equal, for a comparatively small mortgage amount, I'd go for a fee free deal myself - probably the principality one, as there won't be the legal and valuation fees if they're your current provider.

ginvzt

How long is the mortgage for?

Although, I think it won't change the results much. I assumed here, that mortgage term is for 10 years.

So, after 5 years, you would have paid out the following:

• HSBC at 4.24% over 5 years (Fee of £599)
  • £27645 + £599 fee = £28244
• RBS at 4.99% over 5 years (Fee of £299)
  • £28624 + £599 fee = £28923
• Principality at 4.99% over 4 years (Fee free) - current provider
  • £28624 (assuming the same rate for year 5)
• A & L at 5.30 over 5 years (fee free)
  • £29035

So, HSBC would be the cheapest overall. Unless I am so hungry I can't add numbers correctly...

dimbo61

Its not just what you have paid out over the next 4/5 years its what you owe at the end of the deal !!
Use " whatsthecost" and put in the details for each deal and then look down 4/5 years and see what you owe at the end

Llyllyll

ginvzt wrote: »

• HSBC at 4.24% over 5 years (Fee of £599)
  • £27645 + £599 fee = £28244

Cheers all, decided to go for the one above after.