10 Year Fixed Rate advice needed asap

Ian_W

You can move but you can't shop around and borrow the extra from another lender. The WB will hold a charge against your property so if you move they'll probably only agree to you taking the mortgage with you if any additional lending is with them.
Even if they don't insist on that, your choice of lenders will be severely curtailed as the other lender would have a second charge against the property. In other words WB would be first in line if you defaulted, they would be second in the pecking order making it more risky for them and almost certainly more expensive for you.
The security of a 10yr fixed sounds great but if you're likely to move during that period the choice is to be at the whim of that lender for your extra borrowing or pay the redemption penalties. It's the same dilema with other fixed terms but with 2, 3 or 5yr deals you're much placed to try to predict your housing, family, financial and work situation over those periods.

jet_pack234

Thanks for your advice. Whilst it seemed like a good offer its probably not the one for us. Its just too long to get tied in especially with the likelyhood that we will move in the next 10 years. Even a 5 year fixed seems a long time now and a 2 year fixed just doesn't give value for money with the fees. I think I'll just stay on my current lenders SVR for the time being and have a think about this one.

Ian_W

Hi jet_pack,
Have a look at Britannia website for their trackers - gonna be much better than SVR and only a £99 fee and no tie-in.
Won't give you the certainty of fixed but will give you a lower rate and complete flexibility.

jet_pack234

Thanks again - this looks a lot better for the short term and easily beats my new rate (6.59%). I hadn't really considered one of those.

TangentMan

If the mortgage is portable, then even if you move and want extra money (which would have to via the same lender) the lender will still off you a deals. They may or may not be the best in the market in the future, but they are not going to be staggeringly bad. It isn't as though the lender is going to offer you 10% when the market is 5%.

And, you need to consider that if you have saved money for the last, say, 7 years, then even if the lender can't offer you the best deal on the market, you may still be quids in overall.

stanmoresaver

You have to be sure ( or at least fairly comfortable) that you would fit their lending criteria at the time you want to move.

SS