Swap rates have lost me my product that i was applying for this week..

topcat007

For quick info please see link

http://www.mortgagestrategy.co.uk/news-and-features/sectors/products/nationwide-to-pull-market-leading-10-year-fix-after-7-days/2019388.article

I have been tracking nationwide 10 year fix with no fee it was as follows without fee:

3.04
2.99
3.39 today

I am looking getting myself to TSB now ASAP incase their rates rocket.

I have two questions:

1. Can i do a DIP and full mortgage app the same day?
2. If i put in the mortgage application on 16th March for example and on the 17th March the product is pulled does my application keep going through at the rate i applied for or will it be stopped?

Thanks very much

Rollinghills

Have you checked first direct 10y fixed rate? I think it is better than nationwide at the moment. Or Barclays.

Once you submit the application the rate is guaranteed apparently (I sure hope so as we have applied for 10y fix with nationwide and the rate has gone up now).

Swap rates have gone back down a bit this week.... but not to the level they were 3 weeks ago or so when they were around 1.5% (looking at treasury bond yield). So Unless they go down further we may have seen the bottom in 10y rates.

topcat007

Rollinghills wrote: »

Have you checked first direct 10y fixed rate? I think it is better than nationwide at the moment. Or Barclays.

Once you submit the application the rate is guaranteed apparently (I sure hope so as we have applied for 10y fix with nationwide and the rate has gone up now).

Swap rates have gone back down a bit this week.... but not to the level they were 3 weeks ago or so when they were around 1.5%. So Unless they go down further we may have seen the bottom in 10y rates.

hi there,

i have seen those but they have a product fee of £1000. I know first direct will not let you add it on to the loan without effecting the LTV. was not keen on applying then loosing the product fee if there was something which came up on survey.

I have no idea what to do now! Apply quick incase i loose tsb at 3.14% or wait and see if nationwide drop back down. Although at same time i need to do something soon as can not hold of seller much longer

Contemptuous

1. I assume you're remortgaging? If so, yes.

2. Once you've agreed to the product the rate is secure.

topcat007

Contemptuous wrote: »

1. I assume you're remortgaging? If so, yes.

2. Once you've agreed to the product the rate is secure.

No FTB..

Thank you for confirming

Rollinghills

We applied to nationwide as it showed a lower fee of around 500 for FTB. However, that did not include the valuation I think, in any case turned out that the actual cost of it was over 900 pounds. I suppose still cheaper than first direct but I think they were misleading on their fees.

Thrugelmir

Pointless trying to second guess lenders rates. Rates rise may rise simply because the lender has written enough business or attracted enough potential applications on a given product in a given period. Also lenders will monitor each others rates. No one is going to give away margin unnecessarily.

amnblog

As a first time buyer you should think very carefully before you take a 10 year fixed rate.

topcat007

amnblog wrote: »

As a first time buyer you should think very carefully before you take a 10 year fixed rate.

hello, except for the ERC on a 10 year is there anything else i should be taking into account?

Thanks very much

amnblog

The ERC would be my concern.

As a FTB you can expect it to be a problem at some point.

Rollinghills

Yes ERC could be a concern, I heard TSB offer a 10y rate that is slightly higher but there are no ERC after 5 years.

Nationwide 10y mortgage can be ported subject to satisfying their lending criteria again.

Although we are FTB we are buying our dream home so we are not thinking of moving for the next 10-15 years.