Fixed rate help

Andy121

Hi i have been accepted on abbeys 10 year fixed at 4.99 with £995 arrangement fee's i have until august to complete this deal but should i wait and see if their are any other offers out thier as rates are still at 0.5 or should i grab this with both hands. thanks for your advice. for your info i owe 70000 on a house thats valued at 250000. and have 15 years left to pay.

Lynn11

I personally would take the deal, as you have the security for the next 10yrs and even though the base rate is 0.5% the fixed rates are based on the libor rate and I do not think that they will reduce very much (thats only my opinion). Hope you are able to make decision soon. We start a fixed rate deal next month and I am happy with this even though the base rate is still very low but as the experts say it is only the people on trackers that are really benefiting from the really low rates.

mclaren32

Thats a fantastic deal, long term fixed rate deals appear to be going in one direction at the moment so I would be very surprised if something comes up to beat that in the next few weeks.

Andy121

Thanks for all you help

Gorgeous_George

That's £561.05 for ten years and whatever your deal reverts to for the final five years. Alternatively, you could consider overpaying. If you pay £752.67 per month you will be RAMFIT (rent and mortgage free in ten years).

BTW, that fee of £995 is the same as having no fee and a rate of 5.21%.

GG

dimbo61

If you could afford the £752.67 george has worked out each month you just need to ask abbey to reduce the term to 10 years.
Then you would be mortgage free five years early and save thousands in interest! GOOD LUCK