Sorry, yet another remortgage thread.

350nutter

I currently have a Natwest offset mortgage at 6.45% (as of 2/4/08). I don't have enough savings to make the offset work for me, therefore I want to get rid.

I also want to borrow extra £10k to do some essential renovations to the property. I'm proposing to borrow £92k over 20 years on a property last valued at £155000 in Aug 06.

I've been offered a 5 year fix through natwest at 5.79% with £699 fee. Staying with the same lender I believe there should be no other fees.

Does this deal sound reasonable, should I wait and see what the April BoE meeting say's, how long's a piece of string...?

Thanks for any input.

Lipstick_2

Did you want a fix?

You call it

350nutter

Either a fix or BoE tracker, the best Natwest can offer on a tracker is 2 yrs at 6.39% no fees. Dunno if it's BoE though yet.

Was thinking fix for a few years as I can easily afford the payments and it should see me through the so called 'credit crunch'

Got some sums to do over the weekend I think.

Lipstick_2

If you stay with NW and interest rates are reduced, the fixed would seem the best deal, assuming that they drop the 5.79% rate

350nutter

Ok, I've done some searching and am probably going to dump Natwest as I've had a far better offer with First Direct at 5.29% fixed for 5 years. This is reserved until Thursday, when I've got to confirm if I want it or not and pay them £299 for the priviledge.

I just have a question about my financial situation prior to doing this. I have an (authorised) overdraft of about £1k, slowly decreasing. Will this be held against me? I also have 2 credit cards both with a zero balance, is there anything to be gained from shifting this debt to one of the cards?. I've never missed a payment on anything.

Ta for any advice.