Thoughts on current rates....and the escalated mortgage rates....

IAMIAM

There seems no real difference in rates from 60-80% LTV. All around 2.5%. I am really concerned about what this will look like when I renew this time next year in 2023.....

I have some capital, but it doest seem much point using it to get me down to 60% LTV from 75% because the rate difference is 0.05%. 

Is anyone else really concerned for themselves.

Thrugelmir

Repaying debt in an environment of rising interest rates is a no lose situation. The LTV issue is secondary.  

MovingForwards

No concerns here.

If you're that worried, remortgage early and pay the ERCs.

redundantmortgage

The less you owe the less interest you'll be paying so I'd say it's worth getting your balance down for that alone.

IAMIAM

I am tempted to move to First Direct Offset. Put savings balance in account to avoid the extra interest but access to the money. The 75% LTV rates are practically similar...

dutchcloggie

I am worried. Or rather, a little bit concerned. I am a nurse currently on a one-year contract with the NHS as an MSc student. I am sure I'll get an NHS job again afterwards but that is in October. My 2 year fix runs out in December. So that is an awkward timing. 

Wondering if I should remortgage now in order to avoid the hassle in October/December. 

I currently have 84,000 outstanding on a 155,000 property. I suspect it is now worth 165,000-170,000. 

K_S

dutchcloggie said:

I am worried. Or rather, a little bit concerned. I am a nurse currently on a one-year contract with the NHS as an MSc student. I am sure I'll get an NHS job again afterwards but that is in October. My 2 year fix runs out in December. So that is an awkward timing. 

Wondering if I should remortgage now in order to avoid the hassle in October/December. 

I currently have 84,000 outstanding on a 155,000 property. I suspect it is now worth 165,000-170,000. 

@dutchcloggie If you're considering a remortgage (new lender) - most mainstream remortgage offers are valid for 6 months so with a fix ending in December, you should be able to secure a rate in late June/early July or so for completion in December. FYI, a rate is secured when you/broker submits a full application. With lenders like Nationwide, you can even 'reserve' a product for 90 days by doing a DIP without having to put in a full application so that could take you all the way to December and beyond.

If you're only considering a product-switch/product-transfer/rate-switch (staying with the current lender) then how soon you can 'secure' a rate will depend on the specific lender's policy.

If this is your first Fixed Term Contract, that may limit your remortgage (changing to a new lender) options at this point but should not be an issue for switching products (staying with the current lender)