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Are there no discount tracker mortgages anymore?

(11 Posts)
slowlygoingcrazy Sat 12-Jul-08 10:05:44

cos I can't find one!

two year tracker coming to an end this month, it's -0.13% of the base rate and is currently 4.79%. anyway, from next month they say it is 6.49% which is putting our mortgage up by over £100 a month. We can't afford that. We scrimp by as it is.

Have looked around and the best I can find is 5.79 but then they all comes with big admin fees.

Are there no discount trackers anymore? Please help!

UnquietDad Sat 12-Jul-08 10:08:50

Martyn Lewis on moneysavingexpert. con says the three steps to finding a good mortgage are:

- see what the best rate your current lender can offer is.
- Go to a Whole Market Broker and see what they can do
- Look at the direct deals through Financial Services Association

He also says to plan 6 months before your current deal runs out.

If you've found one for 5.79% that sounds pretty good in this climate, even with fees. Who's it with? We have a two year fixed rate coming to an end in January and so I'm looking now.

slowlygoingcrazy Sat 12-Jul-08 10:11:35

It's with Nationwide, that's who we're with now. They say it'll go up to 6.49 next month yet if you look on the site it says if you're with them and your current deal is coming to an end you can go straight onto the 5.79, although for a fee of course, I think it's £499. Some of the fees with others of £2k and such!

Thank you for your advice, will keep on searching and comparing!

noddyholder Sat 12-Jul-08 10:11:40

5.79 sounds low It must have a high charge or you need a big deposit/equity.6.79 sounds more like what the majority are quoting

slowlygoingcrazy Sat 12-Jul-08 10:13:27

sorry, it's 5.74% with £599 fee, tracker for 3 years

jimjamshaslefttheyurt Sat 12-Jul-08 10:13:34

YOu can get the fee added onto your mortgage. Of course not ideal as it will end up costing you loads more in the long run, but useful if you're scrimping now.

iamdingdong Sat 12-Jul-08 10:14:04

we are looking now too, we are with NRock at the mo and there is no way they'll give us a decent rate, as they are trying to get rid of their mortgage customers. First Direct who we bank with have some reasonable rates. Bear in mind that sometimes a large admin fee means the headline % rate actually works out worse over all than a higher rate with lower fee

UnquietDad Sat 12-Jul-08 10:16:02

Sometimes the fee is worth it if it saves you in the long run. We are planning to get it out of the saving account or ISA if we have to.

nannyL Sat 12-Jul-08 10:17:26

mortgage rates have gone up ALOT

I surprised you can even find 5.79%, and in the currnet climate that sounds like a great rate worth snapping up!

(My mummy is a mortgage advisor so we discuss these type of things a lot!.... no idea about discount trackers as such but i do know that lots of good mot#rtgage deals / types of mortgage dont exist any more sad

onceinalifetime Sat 12-Jul-08 10:19:27

That fee sounds very reasonable to me - we were offered a deal a couple of months ago and the fee was £8,000!

noddyholder Sat 12-Jul-08 10:26:46

Many are asking for the fee upfront atm

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