Nationwide Remortgaging - beware?

keensta

I'm in the same boat having received the same standard letter inviting me to reserve a new product before current fix ends in August 09.

Does anyone know where I can view the history of the BMR rate over the past 5 or so years? Thanks.

I'm a new user here so can't post links, but there is info on the old BMR on Nationwide's site, under: Mortgages / Existing Customers / Your current mortgage / BMR tab.

samnorris2

I'm in with all you guys n gals.

I've copied this from another of my posts but feel relevant on this discussion also

I spoke to Nationwide today about their 4.59% 3 year fixed £995 fee. I'm currently with them and my 2 year fix runs out in August. I'm on 6.08% just now. Will be glad to cut the rate... also with that I'll be cutting down the full term from 21 years to 15 years. This keeps our rate about the same as it is just now.

Here are a couple of good points from the Nationwide offer I liked...

• Can overpay £500 a month. Although most other mortgages offer 10% which would allow me to overpay more, it is really only benificial while my mortgage is over £50,000 and although it is (£92000) I am not able to pay much more... the advantage is that i can carry on the £6500 overpayments I've made so far as a reserve in case I need a payment break (that's about 10 months reserve) in the future.
• Payment holidays available after I've held the mortgage for a year and the last 2 years I've held with them count
• It's possible to get a consent to let (conditions apply of course) but they don't charge any fee but you need to change to buy-to-let rates when the term runs out.
• Able to increase or reduce the term of the mortgage anytime by calling them.. I didn't know you could do this until Financial Bliss on another thread said you could... so as you overpay and your monthly payments come down you naturally pay off less of your mortgage so every 6 months I plan to reduce the term if only by a year each time to reset my monthly payments at what I want to pay.

I hear the case on the BMR at 2.5% and maybe I'll be kicking myself in 3 years time when it's peaked at 4.5%.

But it's hard to beat knowing what your monthly payments are. The next couple of years are going to be turbulent and uncertain times for most. Some consistency amongst it all is good for me!

apples1

My Nationwide 5 yr fix ends at end of this month. I am going onto a new 5 year fix elsewhere 5.69% but will sit tight on the offers I have (Natwest already and Northern Rock on the way) until last possible moment. Would love to enjoy the BMR for longer but scared rates will shoot up.

luckyfool

If you were worried about losing that low revert rate you could take a fixed from Woolwich instead, which tend to revert to base plus 1.49%. Of course their fixed rates may not be so hot.