Coop 5.99% or Nottingham BS %5.69 (85%LTV)??

magicuk

These are both fixed for 3 years:

Im a first time buying at £160000 and borrowing £136000, ive been offered the 2 morgages above, looking to overpay to a £1000 per month in total with repayments! Now the coop one u have to pay the evaluation fee plus obv legal fees for either one, now the Nottigham at 5.69 has a £195 booking fee and £800 arrangment fee. Also then the thing that warrys me is the SVR on Nottigham is 6.14% where as with the coop is states on there key facts document theres is 4.24%, is this something i should worry about and in general if i had the £995 fees for the Nottingham one would that be the better deal?

thanks for any info!;)

poppy10_2

With the co-op mortgage you will pay £28,752 in interest over the first three years (ignoring the effects of overpayment on the capital amount)
With Nottingham it's £23,215. On that basis it would be better to go for that one.

What the SVRs will be in three years time is anyone's guess, no point in worrying about the difference between the two at the moment. Presumably you will be remortgaging anyway rather than just staying on SVR.

Cannon_Fodder

With further house price drops not unlikely, the SVR becomes important when the LTV/NE prevents re-mortgaging...

magicuk

Well if after 3 years the BOE interest rate rises then obv all and the nottingham SVR rates will all be higher but id be looking at finding another 3 year fixed deal or moving on! so it seems the nottingham rate is the better deal if i have the £995 fee upfront, is that correct? also any advice that anyone thinks il need do let us know! lol