Variable or Fixed Rate???

kriss_boy

Thrugelmir wrote: »

Fixed rates have already moved significantly in the past 2 months.

Mortgage money supply is not being determined by BOE base rate but wholesale money lending rates.

I know, Ive been paying attention to them but Im still not convinced Im better off accepting a fixed rate now rather than in 6 months time.

Thrugelmir

kriss_boy wrote: »

I know, Ive been paying attention to them but Im still not convinced Im better off accepting a fixed rate now rather than in 6 months time.

Depends on your own view. But a lower variable rate combined with overpayments is a reasonable bet at the moment.

I'd be more concerned with interest rates in the medium to longer term. Now is the time to clear debt ( repay capital). As taxation changes will impact disposable income in the shorter term.

kriss_boy

Thrugelmir wrote: »

As taxation changes will impact disposable income in the shorter term.

Can you explain...

Thrugelmir

kriss_boy wrote: »

Can you explain...

Higher income tax, higher national insurance, higher vat.

Less money to spend or save.

beecher

sandford6016 wrote: »

Britannia at 4.99 variable or 6.99 fixed both for 2 years.

Hence my OP!

http://www.britannia.co.uk/home/_site/channels/mortgage/products/variable-rates.html

Looks like the variable is 5.34% or 5.74%

Are you looking at interest only? What sort of repayment vehicle do you have, as Britannia will expect to see one in place.

Think it is naive of you to think that a 90% interest only mortgage will 'not be difficult' , and that you have lots of options. Good luck sorting it out.