How long to fix for?

sundaygirl_2

Hi I am trying to get my first mortgage and I'm unsure how long is the best time to fix for? I see 2, 3 and 5 years and some 10. Which do most people advise.

Let's assume they are all portable...

dunstonh

go for the one that is right for you. Longer is generally better (cheaper in the long run) unless you plan to move in the period of the fix.

homer_j_3

Ok

First of all, why does the assumption of portability make a difference to your choice?

Portability is not guaranteed and should not form a consideration of any decision. You should fix for as long as you are comfortable that you will not need to repay the mortgage to move house.

sundaygirl_2

I will be by first flat so I wouldn't like to think I'd be there more than 5 years. I looked at a direct line one for 5 years but it stated if I moved within the fixed rate I would have to pay redemption charges and any new arrangement costs so i eliminated that choice but are you saying if it said it is ok to move like many do, then I still might have to pay fees?

homer_j_3

What I am saying is that you should not expect to be able to transfer the mortgage to another property just because it has a portability clause built in. You are fully reassessed again and if you don't fit when you need to do this then they will refuse.

I personally think that 5 yrs is way too long for a first time buyer but the choice is yours and without not knowing you, I cannot say what is right for you.

So, my comments are the same. Only fix for as long as you are comfortable with. If you think you will be there for 5 years, make that your maximum or think of doing a 2 or 3 yr fix with the view to deciding after this point what you want to do.

I have been a home owner for 8 years now and I am on my 4th move in the next few months. I just like moving but appreciate that you may not be the same.

ash121_2

I personally think that 5 yrs is way too long for a first time buyer but the choice is yours and without not knowing you, I cannot say what is right for you.




really good advice i fixed 3 years ago at what is now a very low rate but im now self employed so every time i move (once or so a year ) it really is a pain!!! look at redemption and how much theyd cost over 25 year s added to your new mortgage if you arent accepted for the porting. e.g 6k may turn into 15k subject to rate.

katherinef1974

When I bought the house fixed for two years. Then when that deal ran out fixed for seven. Its really what suits you best. Personally prefer now to fix for longer as arrangement fees and costs are so expensive.

Helga14

I was a first time buyer last year and fixed for five years because I tend to stay in the same place and HATE the hassle of moving even when i was renting. I stayed five years in one rented flat and two years in another. Now to move will involve the stress of selling and buying and cost of that. It's up to you though really.

I'm just about to get another mortgage because i brought a shared ownership flat and will probably do three years for that so that eventually i can make the pot of debt one pot rather than two or eventually three when i can buy the rest of the flat.

kingkano

2 or 3 years. or don't fix if you can afford movements in the rates, as rates are scheduled to go down, which means if you get a tracker you could benefit?

When I bought my first flat we fixed for 3yrs first as we assumed we wouldnt move within that time. Then re-fixed for another 2yrs which was about a year too long as it turned out! And we are people who hate moving.