remortgage advise please!

currantbun

Please help.
Our current 4 year discounted deal with Alliance and Leicester runs out at the end of March and I have no idea where to go from here. We have £71k left to pay (original loan £77k, property value around £120k). They have outlined some of the offers we can move onto.
*2 year base rate tracker @ 4.99% for 2 years (variable) with a £250 admin fee and £599 product fee.

*2 year baserate tracker feesaver @5.49% for 2 years (variable) £250 admin fee

*5 year discount @5.59% for 5 years and £149 admin fee

*5 year fixed @5.54% with £599 product fee (but no admin charge)

*2 year fixed @5.34% with £599 product fee and £250 admin charge.


We are not planning to move house again (unless those lucky numbers come up!) and given that interest rates are probably going up rather than down I am tempted by the 5 year fixed rate so at least we know exactly what we're paying.
I am happy to consider other lenders but am so confused by the array of deals available I don't know where to start.
Do we need to see a broker?
Thanks for any help you can give
Claire

herbiesjp

You have done exactly the right thing in seeing exactly what A&L can offer first.

Now you would really need to shop around and see if you can get any better deals via other lenders - the most important things to take into account are the exit fees from A&L as well as any set up fees (either on a new A&L deal or with a different lender)

You can either do all the leg work yourself or indeed get a fee free whole of market adviser to help out with the research

By doing this at least you have covered all angles, and will know that you have found yourself the best deal.

HTH

currantbun

Thanks Herbiesjp, you confirmed what I thought.
I've done a quick search on moneysupermarket and the cheapest over 5 years is scarborough building society fixed at 7.14 untill 2017 with cashback of £7k (which would pay for the kitchen I have so far only been able to dream about!). However, can't see how it is the cheapest as the monthly payment is £561 whereas there are lots of others with lower apr and monthly payment. I'm confused?

herbiesjp

You are not comparing like for like here.

You are comparing the Scarborough deal which is a 10 year fixed rate it looks like against a 5 year fixed rate. If you are going to re-mortgage, you may as well take a lower rate and add £7k onto the mortgage rather than take a higher rate with a cash back

You would need to look at the figures very carefully

HTH