To fix or not to fix

CAN1976

When I purchased my current property it was a 5yr fix at 4.99%. This was approx 8 years ago. Since the fix ended we have been on BoE rate plus 2%. As I understand it such a rate is not available on newer mortgage products.

As the BoE rate has nowhere to go but up I am considering remortgaging to fix again, but am unsure how to weigh up whether this would be a prudent idea or not. Would I be better sticking with my (in effect) 2% plus base rate lifetime tracker?

o/s mortgage value is approx 78k, purchase price was 113k, no idea what market value is currently

bryanb

Base rate would have to rise 3% before it would be better to fix. Not very likely soon.

ACG

bryanb wrote: »

Base rate would have to rise 3% before it would be better to fix. Not very likely soon.

No it wouldnt?

You would have to be on a 95% mortgage or have bad credit to be paying that sort of rate.

This is a tough one to answer. I would be reluctant to give that rate up as I think it will be a while before it goes above say 3.5% (as in a good year or so). I think I would only leave the rate you have if you can find a good 5-10 year fix (and you intend to stay in the property for that period).

getmore4less

Base +2%

keep it and overpay any fees you would pay to change and as if you had the fix.

whats the best 5y fix you could get and the followon, then crunch some numbers.

Add the fees make the payments the same and see whats left after 5 years.
then do some whatifs with the tracker going up a bit over the 5 years.