Two year fixed rate ending 28/02/07 Advice needed Please.

forumuser_3

Hi

My 2 year fixed rate mortgage with Nationwide Building Society at (5.45%) is coming to an end on 28/02/07.

I have a £70,000 mortgage and am being offered a 2 year fixed rate from Nationwide at 5.08% followed by 6.49% Overall 6.4% with a reservation fee of £399 as an existing customer.

There is also a 2 year fixed rate at 4.94% followed by 6.49% Overall 6.4% with a reservation fee of £699.

And a 5 year fixed rate of 5.28% followed by 6.49% Overall 6.2% with a £399 reservation fee.

I am quite confused about where I should re-mortgage and where the best deal for me might be, I don't mind moving my mortgage to another supplier as long as they don't charge a fee for me moving my mortgage after the fixed rate ends. I would also like to try and avoid the high reservation fees quoted above.

Can anyone give me some advice please? Are the deals above good or can you suggest another supplier I should look at.

Thank You :-)

super_star_2

Hi,

I'm in the same position too (my current Nationwide mortage expires on the same day!). I'm looking at using the ING mortgage which is a 2 year fixed deal at 4.95% at 5.3%APR and will cost £495.

I spoke to Nationwide earlier and the only fee we will need to pay is £90 deed release fee.

If someone has any more advice please post.

Thanks

herbiesjp

There are cheaper deals with higher fees and there are slightly higher deals with no fees at all

I think this does sound like a case for chatting to a fee free whole of market adviser unless you are confident enough to do your own research. They should be able to look at whihch deal will work out cheaper for you over the fixed term you opt for

HTH

UK007BullDog

The reservation fees are not that high.

It does not matter where you go, if you fix they want a fee and will charge you a fee if you move to another lender.

If you move to a lender who will pay your solicitor and surveyor fees then the interest rate is going to be higher. Lenders do not give anything for free.

So if you really want to save why not go for the 5 yr fix? If you know you are not going to move anywhere, want to sell etc then fix it for 5 yrs and forget about the mortgage, otherwise in 2 yrs time you will be looking again, fees again which might be higher.

Alternatively to get a feel of fees costs etc see a whole of market broker and have a look what they can find you.

Rates will go up again soon, so best to get the skates on

forumuser_3

Hi Thanks for your help so far.. If I was planning to move in say 2-3 years time which is quite likely would I be able to do a 5 year fixed deal and take the mortgage to a new property if I moved?

AnnaR_2

If you're not borrowing more than 90% of your property's value then HSBC currently have a very good offer as part of their 'Green Sale'. Until 31st Jan they're offering a 5 year fixed rate of 5.17% with no booking fee (usually £499).

http://greensale.hsbc.co.uk/mortgages.html

They also make a donation to charity for every product sold.

UK007BullDog

If that is the case then make sure the mortgage is PORTABLE.

If not then go find a good 2 yr or 3 yr fixed.

Read up on the pros and cons on Porting before making your decision.

herbiesjp

Porting a mortgage still means a new application process for the new property - on your circumstances at that point in time.

Should you need any extra borrowing, it will be on the current deals at that time, and it is not guaranteed that the current lender will be able to give you the extra funds

HTH

forumuser_3

I have made an appointment to see a Mortgagae advisor at HSBC as it looks like a good deal. I have asked them some questions using the online webchat service and it looks like they will pay any fees incurred when moving my mortgage from Nationwide to HSBC.

I am interested in the 5year fixed rate mortgage they are offering and they have said I will be able to move property within this 5yr fixed rate term without incurring charges they described it as fully portable. (I guess this is the biggest problem I may have as I do intend to move within the 5 year period).

I will check the details when I see the mortgage advisor at the end of the week.

Thanks, so far for your comments and help.

Forreal

My mortgage product ends on the 30th April 2007. Does anyone know how far in advance you can secure a product i.e. can I buy into a product in February ready for the remortgage in May?

mhay_3

generally around 90 days previous to the deal ending forreal