We’d like to remind Forumites to please avoid political debate on the Forum.
This is to keep it a safe and useful space for MoneySaving discussions. Threads that are – or become – political in nature may be removed in line with the Forum’s rules. Thank you for your understanding.
📨 Have you signed up to the Forum's new Email Digest yet? Get a selection of trending threads sent straight to your inbox daily, weekly or monthly!
The Forum now has a brand new text editor, adding a bunch of handy features to use when creating posts. Read more in our how-to guide
Do I fix?
bubblepop_2
Posts: 31 Forumite
After my initial interest only fixed mortgage came to an end last year I went onto a variable rate mortgage which brought the mortgage down to £300 a month(!) and overpay by £200 which has been nicely paying of the mortgage amount.
Now I keep reading things about the interest rates going up and not sure if I should be looking at fixing? I can afford to pay up to £100 max extra if rates go up but always want to have the £200 difference bringing the capital down if that makes sense. Should I stay where I am or to to fix?
I don't really understand how loan to value works either. My mortgage is for 90k and I bought the flat for 118k - would the bank revalue at the flats current value which is probably nearer 100k? I know I'd obviously get a better fixing deal if they took it as 118k.
Thanks in advance!
Now I keep reading things about the interest rates going up and not sure if I should be looking at fixing? I can afford to pay up to £100 max extra if rates go up but always want to have the £200 difference bringing the capital down if that makes sense. Should I stay where I am or to to fix?
I don't really understand how loan to value works either. My mortgage is for 90k and I bought the flat for 118k - would the bank revalue at the flats current value which is probably nearer 100k? I know I'd obviously get a better fixing deal if they took it as 118k.
Thanks in advance!
0
Comments
-
Not sure why I have a
in the post title sorry - I'm not that grumpy about it honest! 
Also, forgot to add, I'm with HSBC0 -
the bank would value the house at the amount it would sell for, which is 100k, if not lower as they're not run as a charity. It's a pain...
I'd stay for a few months and overpay as much as I can (assuming no fees for overpaying are incurred) and hope to get your loan to value down to as low a percentage as possible.Feb 2012 - onwards MF achieved
September 2016 - Back into clearing a mortgage - Was due to be paid off in 32 years in March 2047 -
April 2018 down to 28.00 months vs 30.04 months at normal payment.
Predicted mortgage clearing 03/2047 - now looking at 02/2045
Aims: 1) To pay off mortgage within 20 years - 20370 -
why not have a look at what HSBC can offer you now ?0
This discussion has been closed.
Confirm your email address to Create Threads and Reply
Categories
- All Categories
- 353.9K Banking & Borrowing
- 254.3K Reduce Debt & Boost Income
- 455.2K Spending & Discounts
- 246.9K Work, Benefits & Business
- 603.5K Mortgages, Homes & Bills
- 178.3K Life & Family
- 261K Travel & Transport
- 1.5M Hobbies & Leisure
- 16K Discuss & Feedback
- 37.7K Read-Only Boards