Mortgage advice.....

AndrewSmith

Hi,

The Northern Rock is the cheapest fees free 5 yr Fixed and Tracker however they have a minimum mortgage term of 7 years.

What you could always do is take the mortgage on as a 7 year term, then overpay it during the early years to bring it back in line with the 5 years you wanted.


Even comparing it with the Skipton 5.14% 5 year deal,when you include the £499 admin fee with Skipton (which is added to the loan) you are better off by £306 with the Northern Rock overall.

Good product, well researched.

Andy

mleonard79

Thanks Andy, its good to get some reassurance that I've found the right thing as I'm no expert!! Yeah as NR allow unlimited overpayments I was just going to use an online mortgage calculator and work out how much I would have to overpay by to get the term down to 5 years so the 7 year thing isn't an issue. The only thing I've been dithering about is whether to go with the tracker or fixed, am leaning towards the fixed just for the security as fixed rates going up so much has worried me. I know rates would have to go up three times to make the fixed cheaper for me but I'm a bit worried they might over 5 years so... What do you think of NR as a lender in general? I know their deeds realease fee is high and its expensive if you want to switch products due to the review fee but this shouldn't apply to me as I won't be switching again. Thanks a lot.

Michelle

AndrewSmith

Norther Rock are ok.

Not the quickest out there but by no means one I would avoid un-duely.

I use them reasonalbly often and have not had any major issues.

Andy

mleonard79

Hi Andy,
Yeah that's the impression I've been getting, NR are not at the top of the tree in terms of service but they're nowhere near the bottom either. When you say they're not the quickest do you mean in terms of setting the mortgage up? I was told there's a rapid remortgage service and it should be done in a month. Thanks.

Michelle

AndrewSmith

It can be done in a month but on occaision it is a little nail biting towards the end with them, as they have sometimes taken it right to the wire on timings.

It is largely, however, dependant upon how well presented and packeaged the case is at submission.

Andy

hollie.weimeraner

Have a look at Chesham. They have a lifetime tracker at BoE base rate +.39%. If its a remortgage there are no fees involved and they quote deed production fees at £50 if you redeem the mortgage. They also allow overpayments with no penalty so it may be worth considering until something better comes along.
Having checked this out further it appears they require valuation fees and don't offer free solicitor fees. It may be worth trying to find a mortgage broker that will deal with them and at least get some sort of refund of fees if you're interested

AndrewSmith

But the Chesham rate is 0.1% higher than Northern Rock, they charge a valuation fee (£210.00 in this case), and you have to pay legal costs of £235 to their solicitor and whatever your own solicitor charges( £300-500 in some cases).

Yes, the Chesham will do a 5 year term but, bearing in mind the higher rate, solicitor costs and valuation fee, it is not the most suitable way forward.

Northern Rock is an all inclusive deal which ties in perfectly with the type and overpayments that are being looked at here.

alex69

tomstickland wrote:

I've got a 4.39% fixed rate repayment mortgage, via L&C. Fixed rates have gone up recently, so I guess that somewhere just over 4.5% is as good as it gets at the moment. See what L&C find you; I reckon they'll beat your current offers.

Sorry but what is L&C?

Dan29

http://www.lcplc.co.uk/

AircraftHandler

Hi there. Me & my Fiancee have a joint mortgage with Northern Rock. We took a Mortgage for £99500 over 35 years at an apr of 6.19% we also borrowed £20500 on top of that to pay off existing debts & make plans on the house we have bought. Our monthly direct debit is £700. We have been living at the house for over a year & we have been looking to move mortgages to someone else but we have a redemption fee of £3000 so we are still in two minds. I have signed up to receive the guide to re-mortgaging to read what that has to say. Our combined income is £36000 pa & im in the Armed Forces so im garunteed a wage for the rest of my career but my Fiancee has just started her job so is that a problem? Our credit score is average also as we were not down on the electoral role but all that has been taken care of & it has been updated on my credit file.

I'm just after some info on what is available to us?

Please ask any questions & i will answer them

Your help is greatly appreciated.

Ty&Ally