How long to Fix?

Roland_Flagg

Obviously this takes a bit of guess work and a crystal ball,
but basically our current deal is up and the best deal offered is from our current provider (Woolwich) as there a no fees involved.
The best choices seem to be 3 year fixed at approx £695 a month,
but 5 year fixed at £752 a month.

I'm tempted to go for the 5 year as I think the base rate
may well be 2% or more in 3 years time, adding £150 or more
to the next deal. But I'm not an expert, and would like more opinions.

Thanks.

dimbo61

Plans ?
Are you staying in the property for the next 3/5 years ?
Kids,age, Income, size of Loan, LTV,pensions, savings, spender or saver ? and long term plans !
For Example !
If you have a new born baby at home and wife wants a career break for 4/5 years then taking the 5 year fix means two incomes can be taken into account when you remortgage.
Crystal ball time really

dimbo61

If you took the 3 year deal and paid £752 every month you would have over £2000 extra paid off in 3 years taking into account overpayments and interest saved.