Fix deal coming to an end... Advice required.

darrenwis

Ok, i think i may fix for the 3 or 4 years to have the security of knowing that i know what i'm paying.

The 3 year and 4 year rate are actually the same as the 4 year fix is excluively for banking customers to which i am one.

lee111s

Have you considered nationwides trackers which will allow you to overpay until you're under the 80% bracket and then switch to a fix at aby time without penalty?

As you're a nationwide current account customer you could apply for the 3year tracker at 1.99% above base (so currently 2.49%) with no fee giving a monthly payment of roughly £440.

How much per month on top of this can you overpay to help bring your LTV down?

Nationwide allow you to switch and fix at any time with no penalty, so you could do this once you're under the 80% bracket.

getmore4less

£118000 @ 2.49 paying £500pm

1. £114,903
2. £111,728
3. £108,473

darrenwis

We wouldnt be able to overpay loads, maybe 80-100, which im assumig would take a while to get LTV down.

Which means fixing my best best.

getmore4less

The loan size is £118,000

LTV: 82%

80% is a loan of £115122

With the tracker paying £500 thats 11 months away find another £100 and it is 8months.

lee111s

IMO, going for the tracker is your best bet at the moment. It's looking very unlikely that the BOE base rate will go up anytime in the next 6 months. Even if it did, it would need to go up more than 1% before you'd be any worse off. Even a rise of 1% will see you paying the sake as you would on the 4 year fix, except you've benefited of the lower interest rate for however long it takes the base rate to get up to that 1.5%.

darrenwis

There is this one:

2 year tracker
2.49%
£999 fee
£438 per month

2 year tracker
Or 2.89%
No product fee
£463 per month

lee111s

are you looking at their existing customer offers for your 82% ltv? I can see the 3 year flexclusive three year deal for base rate +1.99%

darrenwis

lee111s wrote: »

are you looking at their existing customer offers for your 82% ltv? I can see the 3 year flexclusive three year deal for base rate +1.99%

I can see that, so with a tracker mortgage can we change the product at anytime with any fees or affordability checks etc?

darrenwis

What would a 1% BOE rise do on a rate of 2.49% with payments of £438 month? Just so I know the risks.

can we change the product at anytime without any fees or affordability checks etc?