another low priced morgage question

smoky_joe

i have been offered this morgage from the halifax what do you guys think

it is a tracker CMC112 variable rate and it is 0.540% above the BOE base rate to give a rate of 6.290% it is a fee free i would be tied in for a couple of years and i can only over pay 10% per year

i only need 45k and would like to pay around about £300 a month atleast for about 6 to 8 months while we refurb the whole house and after that i would like to overpay to bring down the time of the morgage

any advice on this would be much welcomed

smoky_joe

38 views and no replys what gives

smoky_joe

anybody out there

smoky_joe

now 95 views come on somebody has to have an opinion on this

scottishsuz

Sounds ok, there are so many thousands of mortgages out there that its not straightforward to say x or y is good or bad.

A tracker is good if you're willing to take the risk of interest rates going up (which they might well do). If you can afford to overpay by £300 I'm guessing you can afford to take a few interest rate hikes. Have you spoken to an independent mortgage advisor, if not have a word with one before you commit. They have access to a wider range of mortgages than joe public does, so might find a better deal.

Hope it all works out.

Suz

smoky_joe

scottishsuz wrote: »

Sounds ok, there are so many thousands of mortgages out there that its not straightforward to say x or y is good or bad.

A tracker is good if you're willing to take the risk of interest rates going up (which they might well do). If you can afford to overpay by £300 I'm guessing you can afford to take a few interest rate hikes. Have you spoken to an independent mortgage advisor, if not have a word with one before you commit. They have access to a wider range of mortgages than joe public does, so might find a better deal.

Hope it all works out.

Suz

thankyou for your reply i will get a hold of a morgage addviser and see what they think the halifax said that if interest rates whent up by 1% my monthly payment would only go up by £28 pound as the morgage is a low amount,

catsneel

Hi,
We have just remorgaged to a life time tracker with the woolwich .18% above the base rate,(5.93% interest rate) with no tie ins , can overpay as much as you want, no fees to pay. Sounds like a better deal than the one at Halifax.
Hope this helps.

smoky_joe

thank you might look into the woolwich as i like the idea off being able to overpay as much as i can,

next week i have an adviser comeing to see us so fingers crossed we should be sorted then