Fix or Tracker options

nabznab1

Hi all

Just needed some advice on my upcoming mortgage renewal. 

I’m currently on a 3.24% fix that is ending end of April. I’ve had a look at the options and wondering what the consensus is on tracker mortgages. I’m currently paying around £635. 

The next cheapest 2 year fix is from Nationwide at 4.99% where payments would hike to £803/month. 

Coventry is currently offering 3.88% + 0.38% tracker for 2 years. There are no ERC. Payments on this would start at £680/month. 

It also worth noting that I do plan to move home in less than 5 years. 

Any thoughts? 

123imp

Hi, sounds like you're in the exact same situation as me. I'm looking at the tracker from Nationwide at 4.44%. The best 2-year fixed rate I can get is over 5%. I plan to move within the next 5 years as well, probably 3-4, so 5 years fixed no good.

I'm going for the tracker as I think there's room for the rate to rise without becoming more expensive that the 2 year fixed, and if it falls I'm better off.

jonnypb

YBS doing a tracker for BoE +0.39% with no product fee and free valuation and legal assistance.  this is what I've just gone for in the hope that the interest rate doesn't peak above 4.5% and then slowly comes down a little in 2024. 

123imp

jonnypb said:

YBS doing a tracker for BoE +0.39% with no product fee and free valuation and legal assistance.  this is what I've just gone for in the hope that the interest rate doesn't peak above 4.5% and then slowly comes down a little in 2024. 

I wouldn't bother personally, as I am a contractor and they don't even mention them in their lending criteria.

jonnypb

123imp said:

jonnypb said:

YBS doing a tracker for BoE +0.39% with no product fee and free valuation and legal assistance.  this is what I've just gone for in the hope that the interest rate doesn't peak above 4.5% and then slowly comes down a little in 2024. 

I wouldn't bother personally, as I am a contractor and they don't even mention them in their lending criteria.

The YBS tracker (3.89%) is/was the best available 2 year tracker on the market that had no other fees when I did it the other week.  The nationwide one is more expensive?

123imp

jonnypb said:

123imp said:

jonnypb said:

YBS doing a tracker for BoE +0.39% with no product fee and free valuation and legal assistance.  this is what I've just gone for in the hope that the interest rate doesn't peak above 4.5% and then slowly comes down a little in 2024. 

I wouldn't bother personally, as I am a contractor and they don't even mention them in their lending criteria.

The YBS tracker (3.89%) is/was the best available 2 year tracker on the market that had no other fees when I did it the other week.  The nationwide one is more expensive?

Yes, but as I said, personally wouldn't bother applying to YBS as they don't even mention contractors in their lending criteria, so would likely not accept my application. A mortgage product is only any good if you can get it.

housebuyer143

Did you read accords lending criteria? It's basically the same I believe. Or you can ring them and ask 

123imp

housebuyer143 said:

Did you read accords lending criteria? It's basically the same I believe. Or you can ring them and ask 

Hi, thanks for this. I do fit the criteria, will give YBS a ring tomorrow and see if I can get a copy their own lending criteria.