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New house: 5 vs 10 year fix?

ian310567 · 2018-02-06 15:55:39

Hi, I have to admit I'm struggling with this decision; I'm about to take a mortgage out with Nationwide for £127,000 on a £263,000 house purchase, so a LTV of less than 50%. I'm 50 and likely to remain in this house for a long time and the monthly repayments to pay off in full over a 10 year term fit in with my budget -…

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getmore4less Posts: 46,882 Forumite

7 February 2018 at 8:31PM

silvercar wrote: »

On a 5 yr deal you need to factor in what sort of mortgage rate you will get in 5 years time.

spaceboy wrote: »

How do you do that?

There are only 4 variables to a mortgage you only need to know any 3 to do do the calculations.

at the 5y point you know three of the 4, amount owing, monthly payment and a term to get to Zero.

From those 3 you can work out the interest rate.

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