Mortgage - 2 Year fixed rate ending soon

skyking_comms · 21 January 2019 at 9:00PM

Hi,

My 2 year fixed rate comes to an end on the 1st May, but told I can start the process 3 months early which is the 1st February.

I'm currently with the Bank Of Ireland, which was a repayment mortgage over 19 years with a 1.44% interest rate. LTV was 59% when I took out the policy.

So..wondering what deals are out there worth considering?
I know they change on a daily basis but would like to start looking now so I can start to get an idea of my monthly payments.

Also thinking about 5 years fixed rather than 2 years this time, considering all the uncertainty that's going on now.

Thanks

dimbo61 · 21 January 2019 at 9:38PM

Well 1.44% is a very good rate.
Why not use a mortgage broker who can search the whole of market for you.
Consider offset mortgages if you hope to clear the mortgage early.

skyking_comms · 22 January 2019 at 9:47PM

I will try some of the comparison websites first.

I had a bad experience with a broker in the past, as I found a good deal which the broker said he could beat. 2 hours later he decided he didn't have anything even close to what I found.

BISCUIT1 · 22 January 2019 at 11:51PM

I'm having the same dilemma regarding 2 or 5 yr fixes...iv'e only ever done 2 yrs before but am thinking 5 yr might ride out the uncertainty but the difference in the rates is a nightmare..I have to stay with YBS and my only options are with no fees 1.88 for 2 yrs and 2.19 for 5yrs and for £995 fees 1.58 for 2yrs and 2.07 for 5yrs...can't decide to go for the lower 2yr gamble or not! Sorry I am no help but at least you know you are not on your own

GoingOn30 · 23 January 2019 at 9:10AM

There are some lenders who offer a 3 year fix which can be a good compromise and still get you a decent rate.

getmore4less · 23 January 2019 at 12:48PM

Start with what your current lender has for retention and the easy switch.

they are the benchmark for the other options.

skyking_comms · 1 February 2019 at 6:44PM

I now have a bit more information now I'm within the 3 months period.
My current lender which is Bank Of Ireland (via the Post Office) have a couple of offers -

2 years fixed - 1.28% - Product fee £1995
3 years fixed - 1.46% - Product fee £1995

My LTV is around 52%

Feels like the interest rates are good but the product fees are high!
For me it's the monthly payment which is important and I'd have to add the product fee onto my mortgage which bumps up the mortgage payment.

Anything else out there that I should look at?

getmore4less · 1 February 2019 at 7:17PM

how big is your mortgage?
do they have any no fee deals?

skyking_comms · 1 February 2019 at 8:36PM

£127,000 - unfortunately no 'no fee' deals

skyking_comms · 2 February 2019 at 11:08AM

skyking_comms wrote: »

£127,000 - unfortunately no 'no fee' deals

I looked again at the Bank Of Ireland offers and there are 2 without product fees -

- 2 year Fixed - 1.72% - Monthly repayment £708.87
- 3 year Fixed - 1.9% - Monthly repayment £719.47

My current monthly repayment is £689, so hoping to get something close to what I already pay.

Anything else out there that I should consider or should I go with one of the Bank Of Ireland deals?

getmore4less · 2 February 2019 at 11:15AM

Assuming 17 years for full term is right

in 2 years and the equivalent no fee
£129k 1.28% £704pm £115,239
£127k 2.11% £704pm £115,227

In 3 years and the equivalent no fee
£129k 1.46% £715pm £108,476
£127k 2.04% £715pm £108,487

Because of the high fee I think you need to shop around a bit.

edit add the 2 new deals(over 17 years)

£127k 1.72% £718pm £113,898
£127k 1.90% £729pm £107,459

because these rates are higher than your current rate you reserve and switch later the monthly payment will be smaller

Mortgage - 2 Year fixed rate ending soon

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