Fixed rate 2 or 5 years?

Dk1989

Just wondering what peoples opinions are. If you were offered a mortgage now would you take a 2 year fixed at 6.29% or a 5 year fixed at 5.84% 

MFWannabe

Personally I wouldn’t take a fix at either of those rates 
Is there a tracker available? What is the rate on SVR? 

When does current fix end ? 

Dk1989

I’m a first time buyer and I have absoutely no idea how to answer those questions lol My application was submitted by my broker a week ago haven’t heard a thing since. I did a quick Halifax calculator with the price of the house we want and a 15% deposit and that’s what shows up.

BikingBud

Dk1989 said:

I’m a first time buyer and I have absoutely no idea how to answer those questions lol My application was submitted by my broker a week ago haven’t heard a thing since. I did a quick Halifax calculator with the price of the house we want and a 15% deposit and that’s what shows up.

I would recommend therefore that you prepare and arm yourself with the necessary knowledge, especially the broader context and what offers may be available, so that you are wholly in charge of your future exposure.

See:
https://www.moneysavingexpert.com/mortgages/mortgage-rate-calculator/
https://www.citizensadvice.org.uk/housing/moving-and-improving-your-home/buying-a-home/
https://www.which.co.uk/money/mortgages-and-property/first-time-buyers/buying-a-home/how-to-buy-a-house-alm0r9l4yf5x
https://www.which.co.uk/money/mortgages-and-property/mortgage-calculators/mortgage-repayment-calculator-agbgh7r3bfhm

MFWannabe

Dk1989 said:

I’m a first time buyer and I have absoutely no idea how to answer those questions lol My application was submitted by my broker a week ago haven’t heard a thing since. I did a quick Halifax calculator with the price of the house we want and a 15% deposit and that’s what shows up.

Why did you choose Halifax calculator? 

I’d wait to see what your broker comes back with

Dk1989

@MFWannabe I’m pretty sure that’s who he said he was sending our application to so I thought I’d have a look online. The waiting is horrible. I’ve two weeks left in the current house I rent 😞

Sncjw

Dk1989 said:

@MFWannabe I’m pretty sure that’s who he said he was sending our application to so I thought I’d have a look online. The waiting is horrible. I’ve two weeks left in the current house I rent 😞

You do realise buying. House will take longer than 2 weeks..there's the mortgage offer and then searches on the house too. The the legal paperwork exchange and then completion 

Dk1989

Yea I do know that. But if I thought we were accepted for our mortgage that I would tell the landlord that we have no where to go until our new home is ready

JMA74

if you have a broker who has submitted an application without you knowing the rate or having a conversation around how long you fix for or if other options are available then thats a pretty poor process.   How can advice be given if they dont know what you want in the first place?   Its supposed to be a collaborative process

BikingBud

JMA74 said:

if you have a broker who has submitted an application without you knowing the rate or having a conversation around how long you fix for or if other options are available then thats a pretty poor process.   How can advice be given if they dont know what you want in the first place?   Its supposed to be a collaborative process

Yep!

I'm astounded that people are willing to commit to purchasing the most expensive thing they may ever "own" yet are woefully prepared and uninformed.  

Dk1989

I suppose as someone who has never been through this process before has absoutely no idea that I’m being uninformed until people are telling me otherwise.