Remortgage halfway through fixed term

atprice

I'm trying to get all my financial ducks in a row and have thought about trying to remortgage. I'm midway through a 5 year fixed rate term at 4.99% and know I can get a better deal elsewhere, but I have a £3,200 early repayment amount on it and with all the other fees I know it wouldn't be worth moving to another lender. My LTV is approx 71%.

If I speak with my current lender will they negotiate a better rate with me or am I wasting my time? I know they don't have to, but is it a case of "if you don't ask, you don't get"?

Grenage

It seems unlikely, but the worst that can happen is they say 'no'.

enjoyyourshoes

Even moving to same lender they will charge you the ERC.

Do calculation on like for like comparison (amount and term) factoring in the EPC to accurately define the best way forward.

Some good 5 years deals currently:-

HSBC 2.39%
FD 2.39%

both reduce to 2.29% if existing mortgage customer.

We have just moved, cost £1400 ERC but outweighed in spades due to reduced monthly costs.

enjoyyourshoes

Forgot to mention, saving in monthly costs have been redirected to a FD RS earning 6% at £300 pm, over £120 in interest pa.

atprice

enjoyyourshoes wrote: »

We have just moved, cost £1400 ERC but outweighed in spades due to reduced monthly costs.

This is the outcome I'm hoping for - will give it a go as it doesn't seem I have anything to lose and loads to potentially gain.

enjoyyourshoes

just get the like for like quotes making sure the term stays the same on the new quote so its comparable.

Thrugelmir

atprice wrote: »

If I speak with my current lender will they negotiate a better rate with me or am I wasting my time?

There's no negotiation as such. As you are free to pay the costs involved in exiting your current mortgage and switching to another that you qualify for.

A 71% LTV is potentially very close to a major dividing line. What if the lender decides it's 77% ?

Jhoney_2

Is it possible you can make an overpayment to bring your LTV down to 70%? That should get you even better rate/options. I would start by getting 3 valuations as your LTV may be there already. It's free, and then your comparables are based on fact that can be proven if necessary.

amnblog

A lot depends on how much you are borrowing. Under six figures this may not work.