Enjoy low rates for ~year before long term fix

Kua

So, my bet is that interest rates will remain at 0.5% for around 18 months. Is there a way for me to enjoy current very low rates for that period of time (i.e. avoiding 2-year fix), then go for a long term fix?

Or is this a risky strategy and the longer time goes on, the less favourably low long term fixed rates there will be available?

ACG

The trick is to fix at the right time, the longer you leave it the riskier it is - you need a crystal ball to know when is the right time and only time will tell.

Kua

Yep the more I think about it the more I think I should fix and for as long as possible.

Dave_Ham

It depends upon what your current rate and situation is.

There are lenders that will give a mortgage offer for up to 6 months and therefore the rate can be "reserved" as such if a remortgage.

On the same token 18 months into a 2 year fix you can book another product..

Clearly your call or get some formal advice.

dano17439

Even if the rate rises after 18 months, how much will it go up by ......0.25%, 0.5%???

Even in 5 years time rates will still be low compared to what they was pre 2008. If I were remortgaging I would still go for a base rate tracker

getmore4less

As above get the best low rate tracker and only change when a better one comes along.

No more change fees every few years so that's money saved/reduce debt.
Lower rate to overpay and reduce debt.

more often than not reducing debt through low rates is more effective than trying to protect from rate rises.