2 Yr or 5y mortgage ?

Misteek

Hi guys

My friends mortgage comes to an end next week with natwest.

She will most likely remortgage with them again. 

She's thinking will it be a better idea for it her to go for a 2 Yr or 5 Yr fixed rate. .. is rates supposed to be dropping next year or so?

Also what thinks should he ask her adviser ? Or look out for? 

Thanks

BarelySentientAI

We are not soothsayers, and rates are never "supposed" to be going up or down.

Longer fix means maybe missing out on a drop if one happens but also not being hit by a rise for longer 

Shorter fix means wouldn't be stuck on a higher rate if things do drop, but then there's exactly the same conversation in two years time about which of the options to take then.

Or if she wants to guarantee getting every drop, get a tracker - but that guarantees getting every rise too.

Hoenir

If your friend has a mortgage advisor then they'll know competitive the rates are that have been offered. Time is short. Dropping onto the SVR will negate any benefit rapidly. 

Misteek

Thanks guys


So what are the current interest rates with most lenders? Which is half decent.

Hoenir

Speak to a mortgage broker or be prepared to do your own leg work. Products on offer constantly change. 

horsewithnoname

Misteek said:

Thanks guys


So what are the current interest rates with most lenders? Which is half decent.

The mortgage section of this website has best buys for most given circumstances. 

Misteek

Hoenir said:

Speak to a mortgage broker or be prepared to do your own leg work. Products on offer constantly change. 

My GOD... I am doing research, asking here is part of it.. im just trying to get figures from different people to compare it to what the advisor will give my friend.

Time2Go_25

Misteek said:

Hoenir said:

Speak to a mortgage broker or be prepared to do your own leg work. Products on offer constantly change. 

My GOD... I am doing research, asking here is part of it.. im just trying to get figures from different people to compare it to what the advisor will give my friend.

The vast majority of people on here can only look on money websites to find the current mortgage best deals. Advisors may have access to better deals. A lot will depend on LTV, credit history, outgoings etc, that your "friend" has.

Some other information is in your other thread: 

https://forums.moneysavingexpert.com/discussion/6533491/how-to-renew-fixed-rate-mortgage/p1

RelievedSheff

If you are using a mortgage advisor they will be best placed to answer your questions.

BarelySentientAI

Misteek said:

Thanks guys


So what are the current interest rates with most lenders? Which is half decent.

Somewhere between high-4% and 12%

ReadySteadyPop

RelievedSheff said:

If you are using a mortgage advisor they will be best placed to answer your questions.

Aren`t they commission based though?