Negotiating a better mortgage with Halifax

centaurandrew

Reading through some of the re-mortgage guides it offers the advice that before you consider a remortgage, you should contact your lender to negotiate a better deal.


I'm on a 5 year fix, with 4 years remaining so obviously a large early repayment charge if I re-mortgage now. However, Halifax stand to make much more than the 4 year remortgage fee over the next 4 years (and beyond) if i stay with them.

Does anyone have any experience of negotiating better rates with halifax?

dimbo61

Not going to happen

dwsjarcmcd

I would second that ^^^, not going to happen

firesidemaid

if you only fixed a year ago, why do you want to remortgage?

if it is because you think you paid to much, you can always overpay to minimise the effect.

OR, as usually the erc charge goes down each year, you could consider the market again next year.

is there a another fixed deal that is currently so much better than the one you are on??

opinions4u

centaurandrew wrote: »

Reading through some of the re-mortgage guides it offers the advice that before you consider a remortgage, you should contact your lender to negotiate a better deal.

There is no negotiation. You contact Halifax. They tell you what options you have. You choose one. They don't do haggling of product fees, redemption charges or interest rates.

I'm on a 5 year fix, with 4 years remaining so obviously a large early repayment charge if I re-mortgage now.

So what were your reasons for taking a 5 year fix? Why are things different now?

However, Halifax stand to make much more than the 4 year remortgage fee over the next 4 years (and beyond) if i stay with them.

I doubt it. They've committed to their funders to pay back at a predetermined rate. If you change product, they still have to meet their previous commitments.

Does anyone have any experience of negotiating better rates with halifax?

As I said, there's nothing to negotiate.

You will have to pay:

ERC
Product fee (if there is one)
New interest rate

DannyboyMidlands

Never going to happen. You only took the damn thing out a year ago!

Trollfever

The fragile UK banking system cannot afford doing deals.

m00m00

The erc is going to be very expensive 1 year into a 5 year fix, likely to be in the region of 5%

twokcc

Ignore the above about 'not going to happen' unless these people have actual experience of trying to do this with the Halifax.
Much to my surprise know someone who is currently doing this, original mortgage was at nearly 6% fixed for 7 years 2yrs into term. Halifax have offered various remortgages (some fee less). Typical saving is in the order of 24% of the existing mortgage repayments over the next 5yrs- AFTER ALLOWING FOR THE HEAVY PENALTY on the existing mortgage.

What Halifax are prepared to offer will depend upon your circumstances but just ring them up and make an appointment to see what they can offer you may be surprised- good luck

centaurandrew

DannyboyMidlands wrote: »

Never going to happen. You only took the damn thing out a year ago!

So what were your reasons for taking a 5 year fix? Why are things different now?

if you only fixed a year ago, why do you want to remortgage?

Guys,

With all due respect, this has nothing to do with what I asked. Suffice to say I fixed at a very high rate and now want to change, preferably to a tracker. I have done the sums and I am happy to change, even with a 4% erc I can easily recoup that over the next four years with many of the deals on offer.

(And before you come back saying "this has everything to do with what you asked" no, it doesn't, I am simply asking if anyone has successfully negotiated a better rate.)

I just wondered why all Martin's guides say "Before you do anything contact your current lender" Surely there must be some merit in this or he wouldn't say it!

alexlyne

I guess it's less hassle to stick with the same supplier.
If you're happy to pay the ERC then they'd probably let you change deal, assuming their lending criteria hasn't been tightened up in the intervening time.

For me, if I was to ditch my fix with the halifax, I would go elsewhere as their remortgage rates are terrible compared to others (from what I have seen).