Help to remortgage

Glad

I'm coming to the end of a 5 year fixed deal, I've never had to sort a mortgage out alone before so I'd appreciate some help

I have a 5 year fixed rate of 4.39% with Santander which ends in July, currently I owe £84,841.44 and payments are £527.62, 25 yr mortgage taken out in July 2012

They have sent me a letter saying that the rate will change in Jul to the SVR 4.49%. if I apply for a new deal with Santander before 19th April there will be no early repayment charge. Also there won't be a credit search, property valuation and no legal fees.

I also have the Santander 123 account, I don't earn much on it but the cashback from paying the mortgage does cover the monthly fee

my offers at the moment are



any advice please

Thrugelmir

Choice is yours. The shorter the fix the lower the rate. Though obviously the risk is that interest rates rise and therefore so will rates. With a shorter term you could afford to repay more capital sooner by making over payments. If you prefer peace of mind knowing what your outgoings will be for the foreseeable future. Then the 7 year fix gives you that.

Glad

According to Santander - You can overpay up to 10% each calendar year (January to December) on your fixed rate loan amount without paying an early repayment charge. A minimum payment of £500 applies

10% of what?

I regularly save a minimum of £500 a month, plus the £100 saving when I remortgage

kingstreet

10% of the outstanding balance.

FIRSTTIMER

I would go for 5 yr fix feesaver

kingstreet

Sorry for the pedantry again but a customer retention product from an existing lender is NOT a remortgage; which is a new mortgage from a new lender to repay the old mortgage on the same property.

It's called a remortgage because it requires a change of mortgage deed, the security which ties the loan to the security property where no change is required for a customer retention product.

Glad

kingstreet wrote: »

Sorry for the pedantry again but a customer retention product from an existing lender is NOT a remortgage; which is a new mortgage from a new lender to repay the old mortgage on the same property.

It's called a remortgage because it requires a change of mortgage deed, the security which ties the loan to the security property where no change is required for a customer retention product.

thank you

I'm actually coming to end of my term and asking advice on should I stay with Santander or remortgage with a new lender

Glad

FIRSTTIMER wrote: »

I would go for 5 yr fix feesaver

thank you

the one thing against a 5 yr deal is that I'm hoping to pay off my mortgage before then and would incur fees

Thrugelmir

Glad wrote: »

the one thing against a 5 yr deal is that I'm hoping to pay off my mortgage before then and would incur fees

When you say pay off. Is this in the context of moving house and obtaining a new mortgage?

Glad

Thrugelmir wrote: »

When you say pay off. Is this in the context of moving house and obtaining a new mortgage?

no I mean I'll pay off what I owe and be mortgage free

Thrugelmir

Glad wrote: »

no I mean I'll pay off what I owe and be mortgage free

Then select a term which matches this expectation. Maximise the allowed over payments. Then settle the remaining balance a day after the fixed term ends.