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10 year fixed rate mortgage - would you?

(12 Posts)
HeyMacWey Thu 05-Feb-15 16:19:43

I'm thinking about remortgaging to a 10 year fix. Nationwide and tsb have good rates atm.

Would you fix for that long?

I like the idea of knowing what my payments are going to be and I'm uneasy about rates going up on the future.

Do you think it'd be a wise move for a long term fix?

Bearbehind Thu 05-Feb-15 16:42:06

Personally I think it's too long- 5 maybe but not 10.

A lot can change in 10 years; death, divorce, redundancy, illness and the list goes on.

I remember a couple of friends saying they'd done this; 3 years on they'd split up and had a massive redemption penalty into the mix.

SwedishEdith Thu 05-Feb-15 16:50:18

What's the rate? You have to remember that whatever it is, the bank don't think rates will rise to that level. They're building in their profit. But do it if you're happy to pay at that rate. The certainty can be nice

HeyMacWey Thu 05-Feb-15 16:52:18

Rate for comparison is 3.04%.
Tsb is no redemption fees after 5 years.

annielostit Thu 05-Feb-15 17:13:28

We had a fix for 8 years and like you knew what we were affording. The rate did drop in that time to 2% less than what we were paying. It only came down £80 when the rate ended.
We could of driven ourself scatty ithinking what might of been saved but were comfy knowing it wouldn't go up.

PandaNot Thu 05-Feb-15 17:22:22

We're seven years into a 10 yr fix. We took it because we wanted to be sure how much we were paying, we would do it again, even though it has worked out more expensive for us.

TabbyNicki Thu 05-Feb-15 17:54:55

5 years is good It goes very quickly

TealCarpet Thu 05-Feb-15 18:13:12

I think that TSb one sounds great, so you effectively get a good rate on a 5 year fix and can carry on til 10 years if you want to but switch if you see a better deal? Sounds great to me. 5 years does indeed go quickly.

RubberBulletKisses Thu 05-Feb-15 18:48:21

We're debating paying a get-out fee on our current mortgage and going with the tsb one. Would cost us about 3k though so not sure it would be worth it?

Bearbehind Thu 05-Feb-15 19:07:08

If there's no fee after 5 years I'd be very tempted too.

HeyMacWey Thu 05-Feb-15 19:17:21

Think the rate for comparison on the tsb is 3.5%.
Nationwide is 3.04‰.

Undecided about which one to go for.
No fee after 5 years or lower apr for whole 10 years.

Both make overpayment of 10% pretty year. You can build up an overpayment fund with nationwide so could take payment holiday without any penalty to value of overpayments.

Am confused as to which one to go for confused

HeyMacWey Thu 05-Feb-15 19:19:17

rubberbullet could you reduce your term at the same time to make it more worthwhile £ wise ?

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