What to do!!!???!!??

leighlaz

I am currently in a position where my fixed rate has come to an end. I want to borrow £153,000 which equates to 85%ltv on my property. The million dollar question is do I get a 2 year or 5 year fixed rate. I can get a 3.69% 5 year rate but the fee is £1300 or I can get a 2 year rate with the fee being £195.

Really not sure what to do as I dont want to be looknig for a new rate if they are starting to rise potentially in 2 years time. The other option is to wait 5 year where the rise could be quite alot.

Any ideas out there??

leighlaz

Forgot to mention that if we did the 5 year option then the likely hood would be that I would fall into the 75%ltv bracket which would be better.

Thrugelmir

Rates are unlikely to become significantly cheaper so locking in for the maximum timescale makes sense.

Have you run your circumstances past a broker? To ascertain the best deal.

If you switch lender there are remortgage costs to consider as well.

kingstreet

Is £153,000 what you already owe and this simply a refinance remortgage?

If not, you may find the lower-rate products will not go as high as 85% for a "capital raising" remortgage.

leighlaz

I owe roughly £144,500 want to do some home improvements. Also the house should be valued at £180,000.