What mortgage rate would you be happy to fix at following the budget?

edited 20 November 2022 at 9:21PM in Mortgages & endowments
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Mish_MashMish_Mash Forumite
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edited 20 November 2022 at 9:21PM in Mortgages & endowments
Interested to see what people would feel comfortable fixing their mortgages at for 2/5/10 year deals (following the recent budget, BoE statement regarding interest rates potentially only hitting 4.5% and the continued inflationary pressures.) 

Appreciate current rates are not ideal. But hypothetically, what rate would sway you to fix? 4%,3.5%,3%? Or would you hold on for lower?

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  • housebuyer143housebuyer143 Forumite
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    I'm not happy to fix at any of the current rates. I'll stay on my tracker.
  • muffinekmuffinek Forumite
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    My head is really spinning on this one. My fix is ending at the end of Apr and looks like currently available deals are around 5%. My mortgage advisor recommends tracker as he thinks rates will come down later. I would love to fix but that would mean paying almost £700 a month more than I do now. This is just ridiculous. 
  • Mish_MashMish_Mash Forumite
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    muffinek said:
    My head is really spinning on this one. My fix is ending at the end of Apr and looks like currently available deals are around 5%. My mortgage advisor recommends tracker as he thinks rates will come down later. I would love to fix but that would mean paying almost £700 a month more than I do now. This is just ridiculous. 
    Agreed. Oh for a crystal ball. 
  • MFWannabeMFWannabe Forumite
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    Ours is not up for another 3 years but if it was I wouldn’t fix at anything higher than 4%
    Id take chances with a tracker as I believe rates will stabilise and then drop, but I don’t think they’ll ever go back to the really cheap rates 
  • muffinekmuffinek Forumite
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    Why wouldn't they though? The main reason was had low rates for such a long time was due to 2008 recession. This one is expected to be worse and longer. I understand we need to get inflation under control but one this is done what's stopping BOE from doing the same again to boos economy? 
  • RelievedSheffRelievedSheff PPR Forumite
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    It is 3.5 years before we have to remortgage again but we would be happy to fix at anything sub 4%. We will have a low LTV of less than 50% even if house prices drop 20% and 10 years remaining on our term. We would be looking to fix for the remainder of the term of the mortgage. 
  • snowqueen555snowqueen555 Forumite
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    I'm hoping Nationwide's drops below 5% by the time I complete, it went down from 5.39% to 5.24% so pretty much minimal.
  • GiantTCRGiantTCR Forumite
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    I recently secured a 2 year fixed at 4.99% with Nationwide.

    I don't know what to expect but I didn't want to take any chances so a tracker was out of the question immediately.
  • edited 21 November 2022 at 1:46PM
    simon_orsimon_or Forumite
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    edited 21 November 2022 at 1:46PM
    I'm not in the market right now for a capital repayment mortgage but if I was -
    2 years - tracker at bank rate plus 0.5% or a much lower discounted variable rate. I don't see the point of fixing for 2 years and paying for the premium over a variable as I'd still be exposed to unknown rates in 2 years time
    5 years - less than 4%
    10 years - less than 3%
  • IAMIAMIAMIAM Forumite
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    I think barclays has the best solution at the minute....5 year tracker at 0.6 above BOE. Ditch and fix when rates plummet again within the 5 years penalty free
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