New mortgage deal before need it or after

Layaboutlarry

Hi all,

I'm wondering if any of you are able to help, I got my first mortgage deal just under 2 years ago which was fixed for 2 years and is due for renewal in May, now I was wondering if I would be better off trying to get a deal sorted before May because of the brexit date that is approaching in April just incase interest rates shoot up.

I am new to this forum environment so if there is anymore info you need then just let me know.

Thanks in advance

MortgageMamma

Who is your lender Layaboutlarry?

You can normally secure a product transfer with your existing lender a 10 weeks or so in advance, so you secure the rate but switch it on when your deal is about to expire.

Or you could start looking for a new deal with a new lender now - nobody knows what will happen to mortgage rates, but having an application in before Brexit and having secured a rate would insure you against any future rate rises, at least for as long as you wish to fix for

Layaboutlarry

Current lender is The Nottingham Building Society

MortgageMamma

Here is a link that tells you the products they will offer you if you do a product transfer - this is if you do your mortgage via a broker, they may be different if going direct you'd have to check

https://www.thenottingham-intermediaries.com/~/media/files/intermediaries/mortgage%20choices/retentionratecard.pdf?la=en

I've not done a case with Nottingham for over a year but they used to let you apply 12 weeks before your deal comes to an end

GMNN

Layaboutlarry wrote: »

(...) I was wondering if I would be better off trying to get a deal sorted before May because of the brexit date that is approaching in April just incase interest rates shoot up.

Over the last few months, in a lot of these "remortgage timing/deals" questions, people are assuming interest rates will go up after Brexit - why? I know most people will say "nobody can predict it, can go either way" but if I were to put money on it, I would bet that the BofE reduces the base rate to ease borrowing and encourage consumption... This seems to be contrary to the view of most people on this forum - am curious to know why.. Is it because of the expectation of the fall in value of the pound triggering higher inflation, and therefore the BofE acting to keep that down?

AnotherJoe

I agree with GMNN, its much more likely interest rates will go down after whatever farce that masquerades as Brexit happens, or doesn't happen.