We’d like to remind Forumites to please avoid political debate on the Forum.

This is to keep it a safe and useful space for MoneySaving discussions. Threads that are – or become – political in nature may be removed in line with the Forum’s rules. Thank you for your understanding.

📨 Have you signed up to the Forum's new Email Digest yet? Get a selection of trending threads sent straight to your inbox daily, weekly or monthly!
The Forum now has a brand new text editor, adding a bunch of handy features to use when creating posts. Read more in our how-to guide

Fix for two or three years... or even longer?

Other threads on the board are suggesting taking longer-term fixed rates. However my own situation is a less straightforward.

I'm stuck with my existing lender Abbey for this remortgage (because I'm newly self-employed). The rates Abbey is offering aren't brilliant but the effect is an increase of around £70 a month on my current payments, which I can manage. The mortgage is on 50% of a shared ownership property.

In my optimistic moments I think: Go for a two-year fix. In 2010 I'll be either established as self-employed or back in salaried employment, and able to shop around. I may even be able to afford to buy a further 25% of my property.

In my pessimistic moments I think: Take a longer-term fix. Interest rates may be higher in 2010 or the current crisis could have completely changed the mortgage market. Or I may have been hit by the downturn and taken a drop in income and not be a good prospect.

No-one can see the housing future but I'd be grateful for opinions or advice.

Thank you!
This discussion has been closed.
Meet your Ambassadors

🚀 Getting Started

Hi new member!

Our Getting Started Guide will help you get the most out of the Forum

Categories

  • All Categories
  • 354K Banking & Borrowing
  • 254.3K Reduce Debt & Boost Income
  • 455.2K Spending & Discounts
  • 247K Work, Benefits & Business
  • 603.6K Mortgages, Homes & Bills
  • 178.3K Life & Family
  • 261.1K Travel & Transport
  • 1.5M Hobbies & Leisure
  • 16.1K Discuss & Feedback
  • 37.7K Read-Only Boards

Is this how you want to be seen?

We see you are using a default avatar. It takes only a few seconds to pick a picture.