Moving from Fixed to a lower rate- Should I?

getmore4less

The follow on rate will be the SVR at time of fixed rate deal finishes on Sept 2017.

Are you sure it is SVR a lot of Barclays deals are BBBR trackers.

oasisfeverish

getmore4less wrote: »

The follow on rate will be the SVR at time of fixed rate deal finishes on Sept 2017.

Are you sure it is SVR a lot of Barclays deals are BBBR trackers.

Hi getmore4less, have just checked the Mortgage paperwork and yes you are correct.

I have a 10Y fixed @ 5.99% and then 0.95% + BBBR for remainder of term.

Had a quick look at the current Barclays rates and they all seem to have a 2.49%+BBBR as standard.

So despite the current 5.99%, is 0.95%+BBBR looking a good follow on rate, although I know we can't predict the future rates?

On the plus side I have already worked out that my 30Y original mortgage term, and that I keep my payment amount constant after the fixed rate and that *BBBR after Oct 2017 is still the same will reduce the term from 30Y to 20Y. Also from Jan 2011 I plan to make at least £100 per month OP and again based on the above rates, means I will have 15Y left till MFD.

On that basis I think sticking with what I have and making those OPs is the best, plus I know we will move in 2011 and likely to borrow more, and will review whether the OPs stick with this one or on the new one.

* I am aware though this can change and more than likely will.