O/T 5 Year or 7 Year Mortgage Fix? Figures Inside

[Papak]

What would you do?

Happy to stick with Santander as their longer fix deals attract no booking fees etc.- so no need for any offers from other providers.

So, NSC, 5 or 7 Years?




Not sure this requires a Pole (sic)........

 

[Seagull58]

5 years and then go to the market for offers.

 

[Tom Hark Preston Park]

Slightly O/T but my brother swears blind that one of his mates has a long standing tracker mortgage that is set at 1% below Bank of England rate. So every month for quite some time now his mortgage provider has had to send HIM a cheque. Mortgage provider apparently phones him up on a regular basis to ask if he'd like to switch rates to which he obviously replies no thank you, or words to that effect

 

[HalifaxSeagull]

5 years, your saving just leads £40p\m - or £2k Ish over that term, that should easily outweigh any rise in the subsequent 2yrs...

Great rates, I used to work in Mortgages 14yrs ago and we used to think 4.5% was an amazing deal! I recall a 10yr fixed rate at 5.99% which was snapped up.

 

[studio150]

5 year but pay the 7 year monthly amount which will reduce your outstanding mortgage fir when you need to review in year 5

 

[Crispy Ambulance]

Slightly O/T but my brother swears blind that one of his mates has a long standing tracker mortgage that is set at 1% below Bank of England rate. So every month for quite some time now his mortgage provider has had to send HIM a cheque. Mortgage provider apparently phones him up on a regular basis to ask if he'd like to switch rates to which he obviously replies no thank you, or words to that effect

Cheltenham & Gloucester?

 

[Tom Hark Preston Park]

Cheltenham & Gloucester?

No idea. Tho me bruv does swear it's true. Not the kind of thing that anybody would make up, especially if they work in a completely non-related industry.

 

[CorgiRegisteredFriend]

Those rates are pretty good.
Just goes to show, even when bank rate eventually goes up, it is still expected to remain low.

 

[LlcoolJ]

Slightly O/T but my brother swears blind that one of his mates has a long standing tracker mortgage that is set at 1% below Bank of England rate. So every month for quite some time now his mortgage provider has had to send HIM a cheque. Mortgage provider apparently phones him up on a regular basis to ask if he'd like to switch rates to which he obviously replies no thank you, or words to that effect

Not calling bullshit at all but not sure why he'd get a cheque each month. Wouldn't you just knock the negative interest off your mortgage balance?

On a related note when one of my mortgages came to the end of it's 5 yr fix about 5 years ago I dug out the paperwork to find that instead of reverting to SVR it went to 0.5% above base rate for the life of the loan.

I've just carried on paying the same amount as I was on fixed rate which will knock about 8 years off the term. I guess the 0.5% above base rate thing was because I took the mortgage out in 2005 before everything went to crap and the base rate was cut.

 

[Papak]

5 year but pay the 7 year monthly amount which will reduce your outstanding mortgage fir when you need to review in year 5

My current deal is at 4.99% so I'm planning on overpaying roughly the difference between now and this 5 year rate which in 5 years will be about £10K off the debt.

 

[Grombleton]

I was in that same position with Santander just a couple of months ago. Went with the 5 year option which was just an extra £25p/m onto what I was currently paying. Worked well.

 

[Crispy Ambulance]

No idea. Tho me bruv does swear it's true. Not the kind of thing that anybody would make up, especially if they work in a completely non-related industry.

Yeah. I recall when BOE rate went to 0.5%, some C&G (?) customers were on a deal which meant the lender owed them money each month.

 

[nicko31]

Quite like the Barclays 10 year fix @ 2.99% @ 80% LTV, will it ever be cheaper?

 

[Stoichkov]

I took that Barclays 10 year fix this month.

I thought long and hard about it after overpaying for the last few years at (deep breath) 5.29% which was also a 10 year fix.

But, given what interest rates could be and what they have been in my lifetime - 5.29% wasn't that bad and the 2.99% peace of mind for the next ten years is a great deal I reckon. Maybe...

 

[Wozza]

What are Santander's rules on porting? Anyone done it with them?

 

[HastingsSeagull]

2.59 or 3.19? Just look again in 5 years. You'll have saved about 2k in that time and those extra 2 years will not LOOSE 2k on the last couple years of the 7 year linked offer.

Also ALWAYS make overpayments if you can...... saves you a ridiculous amount in the long run

 

[Uncle Spielberg]

Quite like the Barclays 10 year fix @ 2.99% @ 80% LTV, will it ever be cheaper?

Yes Nationwide are at 2.94% fixed for 10 years with a free survey and free legals which I don't think the Woolwich offer. Heads up

 

[Uncle Spielberg]

What would you do?

Happy to stick with Santander as their longer fix deals attract no booking fees etc.- so no need for any offers from other providers.

So, NSC, 5 or 7 Years?

The 5 year deal at 2.59% no brainer
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Not sure this requires a Pole (sic)........

The 5 year fixed rate at 2.59%. No brainer

 

[Papak]

Thanks US et al - 5 year fix it is.