Tracker mortgage with no ERC??

jenni83

Hi guys, i'm totally new to this so please forgive me if I sound totally useless :embarasse

Currently looking for a new mortgage as moving house in April.

I'm interested in taking out a tracker mortgage with no ERC so I can take advantage of low rates, but having the benefit of moving to a fixed rate with zero costs, should interest rates suddenly decide to shoot up scarily high.

Are these advisable or not?

Looking to borrow £123,500 at 63%LTV.

Best deal on a mortgage like this I can currently see is an HSBC 2yr tracker at 2.69+BR (so currently 3.19%), product fee of £499.

Does anyone know of any better deals out there??

Thanks in advance!

michaels

First Direct fee free +2.39?

jenni83

I think the First Direct one is an offset mortgage and you must already be a FD customer to apply?

herbiesjp

What are you currently on? SVR?

Is staying on that not an option?

melstar11

Jenni83 - Not sure if there is a product which meets all your criteria, but Woolwich have a Lifetime Tracker product at 2.69% above base rate which has just 1% ERC in first two years and no product fee.

michaels

Can apply for current account at same time as mortgage application. Offset lifetime tracker, don't have to use current a/c accept to pay mortgage.

jenni83 wrote: »

I think the First Direct one is an offset mortgage and you must already be a FD customer to apply?

payless

Some lenders have trackers that whilst coming with ERC allow swap to fixed withe rc waived... ( although not saying rates as good! as those already mentioned)