Re-mortgage - where to get the info??

LondonJim_2

Hello all, please help a moneysavingidiot,

Mortgage is due for renewal in Dec (end of 2 year fixed, need £210K)) and we have been through L&C looking for options. Currently Woolwich is looking favourable with a 5.59% (£995 fee) fixed over 2 or 5 years.

We need the stability of a fixed rate (financial planning: childcare costs etc) but I have no idea whether to go with the 2 or 5 year option. I know this is the million dollar question (will interest rates rise or fall?) but presumably there are some bright people out there who do this for a living - my question is where can I find out what the current thinking is to allow my wife and I to make an informed decision. Are there any web-sites, articles or post-it notes I should read.

Just to add a little spice we have been told by L&C that the Woolwich offer closes on Thurs!

Grateful for any pointers

LondonJim (though I live in Glos now!)

MortgagesInc

To be honest, even the experts have been way way wrong over the last couple of years.

The chief economist of HSBC predicted at the end of last year that base rate would top out at 5.25% this year and be reducing by the end of the year, so it's so hard for anyone to be accurate.

With the credit issues in the US, and a very split economy over here, base rate predictions are going to be about as accurate as weather forecasts.

Sorry!

This is just for your interest though!

http://www.investica.co.uk/sterlingrates.htm

poppy10_2

Go for the 5 year fix - with plans to start a family you need the security of knowing your payments will not rise, you can't afford to take a gamble just to save a bit of money if they drop.

More discussion here:
http://forums.moneysavingexpert.com/showthread.html?t=556487