Remortgaging

lishmac77

Our fixed rate mortgage with Halifax comes to an end on 30 April this year - when are we able to sort out a new fixed rate?

lee111s

It's advised to start looking about 3 months before your deal is up.

What's the SVR that you'll be going onto?

lishmac77

Whats SVR?? Sorry!

lee111s

Standard variable rate. It's the interest rate that your mortgage will go onto once your fixed deal comes to an end.

kingstreet

When your fix ends, it will roll onto a "follow-on"" rate, normally the lender's standard variable rate. In the case of Halifax, this is 3.99% for either the Homeowner Variable Rate, or the Standard Variable Rate.

If you do nothing, chances are one of these will apply to your mortgage. Check your mortgage offer or key facts illustration (sections 4 & 6) for details.

You can approach your lender for a customer retention product, what Halifax calls a product transfer. This will be a new deal, based on your current loan to value. You can do this within a month of the end of your current product.

Finally, you can look at remortgaging to another lender. This will involve a new mortgage application and the repayment of your old mortgage with Halifax (including the £245 mortgage account fee). Many lenders offer fee-free products, but you could have a valuation fee and legal costs to meet if you do not select such a product.

You will need to estimate the value of your property to establish the correct product band and the surveyor valuing the property for the lender will have to agree. If he does not do so, you may need to change products, or even lenders, if you get it badly wrong.

Start looking for remortgage products a couple of months before the current rate ends and ensure you inform the solicitor handling the remortgage they should not complete until the day after any early repayment penalty to your current lender expires.

lishmac77

Our current rate is 5.54

JimmyTheWig

Good job the current rate is ending soon, then, lishmac77!

Might be worth phoning the Halifax now and see what they say. They might let you go onto a new product early with no fees. That's what happened with Santander for me a few years ago.

kingstreet

Product transfer help here;-

http://www.halifax.co.uk/mortgages/help-and-advice/existing-customers/Renew-your-deal-faqs.asp

lishmac77

JimmyTheWig wrote: »

Good job the current rate is ending soon, then, lishmac77!

Might be worth phoning the Halifax now and see what they say. They might let you go onto a new product early with no fees. That's what happened with Santander for me a few years ago.

Is it worth just going to the variable rate or is it always best to have a fixed rate????

JimmyTheWig

lishmac77 wrote: »

Is it worth just going to the variable rate or is it always best to have a fixed rate????

Depends on a great number of things.
Such as what the variable rate is. What fixed rates you are offered. How long for. How long you are planning on living there for. How much spare money you have each month. How long is left to run on your mortgage. How much your mortgage balance is.
Etc, etc, etc.

dimbo61

Why not have a look on the halifax website !
It you type in" Halifax mortgages" and then click on " Existing customers" they have a number of deals for existing customers with no Product Fee!!
Now if you are happy with Halifax and comfortable with your existing mortgage payment you could take another Fixed rate deal ( they have a 5 year fix at 3.64% IF you have a LTV of less than 60% ? )
You could ask for your mortgage payment to remain STATIC and therefore reduce the mortgage term ( as you are currently paying 5.54%)
This would save you thousands of pounds in interest over the term.
Only do this IF you have no other Expensive debts ( credit cards, loans, HP etc)
Only my views and you may want to see a " whole of market mortgage broker" who could get you a better deal .
Best 5 year fix on the market at the moment is 2.79% with the COOP I THINK it has NO fee but there are other costs to move lender
Good Luck