remortgaging confusion

crowjane

Hello

I am charged with bringing down our monthly outgoings at the moment as we from this month have to manage with a reduced income - not cataclysmic (as my husband is on a very healthy wage) but significant.

So I am looking at our fixed outgoings and obviously mortgage is our biggest! - We have 21 yrs to go and the mortgage is still for a large amount. Our current mortgage is an offset one with First Direct and has a fixed rate of 4.99% for the next 3 years (a 5 yr deal) - looking at their current offers we could save over a £100 a month by moving to a tracker instead (even taking into account the redemption fees etc.) and it would be straightforward as no valuation/ credit check/ huge arrangement fee would be required.

But should we just stick with our still reasonable rate and hold out for another lower rate in 3 years, as obviously with a tracker the rate could increase sharply and cancel out the saving - of course a tracker doesn't tie us in so we could move again in a year or so if required without worrying about redemption charges. It all makes my head hurt.

Next job is household budgeting ...

beecher2

https://forums.moneysavingexpert.com/discussion/2448195

Same advice goes really

crowjane

Thank you so much! I was using the search tool to find that thread and it wasn't coming up so not sure why but thanks for finding it!

will retreat with tail between legs....