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Found the remortgage that looks good

with the Coventry Building Society

its fixed till 2012 at 6.4% with free basic valuation and free basic legal work. there is no arrangement fees either.

got 3 questions

Am I best applying through L&C online or direct to Coventry BS?
Am I better applying online with L&C or on the phone?
Will there be any other fees that I have missed?

Been thinking and come up with another thought

do i go for a £163,000 (all fees added to loan) 25 yr fixed at 5.99% and payback £315,783 (Manchester BS)

or

do i go for a £160,000 (no fees to pay) 5yr fixed at 6.4% then goes to 7.53% and so payback £344,659 but could renegotiate at 5 years (but what will the interest rates be????) (Coventry BS)
em x
Proud to be dealing with my debts

Comments

  • MortgageMamma
    MortgageMamma Posts: 6,686 Forumite
    Part of the Furniture 1,000 Posts Combo Breaker
    Mmmmm sorry can't answer your questions but will ask one...

    Why go with L&C at all? I see you are in Cheshire. I'm sure there are loads of good mortgage brokers in your neck of the woods.
    I am a Mortgage Adviser

    You should note that this site doesn't check my status as a mortgage adviser, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice.
  • dwsjarcmcd
    dwsjarcmcd Posts: 1,857 Forumite
    Part of the Furniture 1,000 Posts Combo Breaker
    As I understand it the 25 year fixed rate with the Manchester is at a rate of 5.99% with a 2% arrangement fee and no redemption charges at all, exclusive to L & C. The arrangement fee aside, which you have said you can add to the loan, I think that this is a cracking deal, and I think you get lump sums at years 10 and 20 of 2% each time.
    Arrangement fee aside, 5.99% is a good rate and there are no redemption charges you have real certainty and if rate do move down, you can get out. If they go up, your sitting pretty and will get rewarded for your loyalty.
    My only questions would be how are the Manchester making any money on that and will they be around in 25 years (although in truth these don't really matter!)
    I know what I would do!!

    David
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