Mortgage Rate Rises

Perhaps we should have gone with 5 years but hindsight is a ***** as they say....

Still, another 1.5 years at 4.19% isn't too bad.
 
My current 4.19% fixed runs out in 6 months so have started looking at deals and things are starting to look a bit crap. To think I went for a 2 year fixed last time (18 months ago) as I thought things would have improved by now, and they were on their way until, well, we all know why.

My existing bank's offerings are:

2yr fixed - 4.66%
3yr fixed - 4.75% (weird why this is higher than the other two, January 20th 2029 might have something to do with it)
5yr fixed - 4.68%

Or a tracker at 4.24% (0.49% above base rate, so the base rate would have to get to 4.17% before this became the worse option).

Tempted by the tracker this time round, but just 2 base rate increases of 0.25% each and I'd be worse off and any fixed rate offerings at that time would be well above 5%.
 
Mysterae_ said:
To think I went for a 2 year fixed last time (18 months ago) as I thought things would have improved by now, and they were on their way until, well, we all know why.
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Its all guessing. We were lucky that we had our mortgage sorted just before all this Trump crap started. We would be paying ~£300/month more if we were getting the same mortgage now.

We've got for a 3 year but who knows if that was a good decision. Time will tell. I wish we'd fixed our mortgage for the last one for 10 years at 2% but on the other hand, if that 5 year mortgage had ended 7-8 months earlier we would have been able to get a 10 year at about 1.2%. Its all a bit of luck and guessing.
 
fez said:
Its all guessing. We were lucky that we had our mortgage sorted just before all this Trump crap started. We would be paying ~£300/month more if we were getting the same mortgage now.

We've got for a 3 year but who knows if that was a good decision. Time will tell. I wish we'd fixed our mortgage for the last one for 10 years at 2% but on the other hand, if that 5 year mortgage had ended 7-8 months earlier we would have been able to get a 10 year at about 1.2%. Its all a bit of luck and guessing.
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Basically gambling with the odds being controlled by those that it benefits the most.

It shouldn't be this way.
 
Mysterae_ said:
Tempted by the tracker this time round, but just 2 base rate increases of 0.25% each and I'd be worse off and any fixed rate offerings at that time would be well above 5%.
Click to expand...

You've got to remember that the longer you have that better rate for, the less the rate rises matter. ie. you could have 3 rate rises and still be better off depending on when those rises come. As an extreme example, imagine if they all come towards the end of your fix. You would already have saved so much over the other products it wouldn't matter.
 
Still on 1.19% with nationwide and runs out December. August when I'll need to look for a deal...I'm expecting to be reamed.
 
Locked in for 10 years back in September. Don't think it was an exceptional rate and certainly not as good as the one I came from (the good old days) but couldn't be bothered with the hassle and speculation (often incorrect) as to what's going to happen.
 
This is a bit of a tipsy Friday night question... But i'm hoping this is the place to get some opinions.

I'm an ex-Londoner, who's happy to now be living in the home counties; but we do not in any way shape or form, need to be near the city any longer.

I run a software company, which gives me a lot of freedom, to the point where my excursions in to London for clients are now incredibly infrequent, maybe once every two months on average.

With that in mind, my wife and I are looking to move next year; with the aim of providng the best life going forward for our four year old son.

We currently live in a humble 3 bed semi in Kent, £1,700 per month, with around £280k left on on the morgage. Zero debt aside from that, and we live comfortably enough that i've been able to max both mine and my wife's ISA's for the last five years - both straight into an all world Stock and shares ISA, while still pumping money into my SIPP.

We have enough in the ISA's to pay off the morgage now, but I would prefer not to touch that money as it's dramatically outgrown our debt over the last few years.

What im looking for are opinons in terms of, would you move further away from London? Would you stay close to the city for economic reasons? Am I Being selfish for considering a slightly more rural life when I need to be thinking about my son's future etc?

It's a more difficult question than ever given the rise of AI and the difficulty in knowing what the future could hold, but I'm ready to spend £1m+ on our forever home and in all honesty I value the views of the people on this forum more than I do most of my real life aquiantances.

I'm looking at Suffolk and Cambridgeshire... Apparently Peterbourough has within a one hour commute to central London. I should consider that right?
 
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