Fix for 4 or 5 years?

spluff

Hi all,

I am looking at fixing my mortgage.

I can get a 5 year fix for 3.19 (£900 fee but £100 cashback)

OR

a 4 year fix for 2.89 (£900 fee)

What do you think would be the best to do fix for the 4 or 5 years? Obviously will be paying more each month for the 5 year fix....

Thanks

opinions4u

Fix for four but overpay the difference.

ScotlandM

You save 0.3% for four years. 0,3*4 = 1.2
So, if in the fifth year rates only rise by 1% you've saved by taking a four year fix but an increase of 1.5% and you should have fixed for five.
If you do Overpay the difference you'll probably be about level if rates rise 1.5.