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Can someone look at my mortgage offer please?

Morning,
I’ve found a 2.89% 2 yr. fixed, £499 arrangement fee with First Direct. No fee for overpayments, so I based this on £100k mortgage and £52k deposit. If I then want to shove more cash into it I shall, but for now that seems like the best deal for me. £383 home buyer report.
Only thing is bank says it will take 5 WEEKS to finalise! Seems a bit excessive to me, or is this a normal time frame?


What do you think?

Thanks.

Comments

  • I think that a 2 year fix is pretty pointless. What happens after 2 years? In my opinion you might as well go for a tracker (especially as you have cash you could bung in if rates rise uncomfortably). I just took out FD lifetime tracker, 2.89% (2.39% above base), unlimited overpayments, £199 arrangement fee, free survey, 75%LTV.
  • ACG
    ACG Posts: 24,744 Forumite
    Part of the Furniture 10,000 Posts Name Dropper I've helped Parliament
    Dannyboy has a point.

    Its unlikely for the next year atleast if not longer that interest rates will rise and when they do it will probably be a lot slower than when they went down.

    Nobody knows whaat will happen and if your happy with your deal then go with it.
    I am a Mortgage Adviser
    You should note that this site doesn't check my status as a mortgage adviser, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice.
  • Even if rates do rise a 2 year fix is no defence. You'll just get hit with it in 2 years time.

    The way I see it, with a mortgage term of 25 years all mortgages are effectively trackers.
  • Tembo wrote: »
    Morning,
    I’ve found a 2.89% 2 yr. fixed, £499 arrangement fee with First Direct. No fee for overpayments, so I based this on £100k mortgage and £52k deposit. If I then want to shove more cash into it I shall, but for now that seems like the best deal for me. £383 home buyer report.
    Only thing is bank says it will take 5 WEEKS to finalise! Seems a bit excessive to me, or is this a normal time frame?


    What do you think?

    Thanks.

    Agree on 2 year fix not being a good idea. I am not sure there are no overpayment fees hence it is a fixed mortgage
  • Thrugelmir
    Thrugelmir Posts: 89,546 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Photogenic
    Tembo wrote: »
    Only thing is bank says it will take 5 WEEKS to finalise! Seems a bit excessive to me, or is this a normal time frame?


    Christmas having an impact possibly.
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