Please can someone help, panicking so much about mortgage

It's not down to the mortgage adviser though. The lender stress tests the mortgage and gives you an illustration (one page or two pages, not a massive document) where it says something like "if mortgage rates increase to 7% your monthly payment would be x".

5 yr fixed tend to be stressed at pay rate as per mcobs so the stress applied could’ve been as low as 2%

It’s utterly wild, but mortgage advisor did not stress test these mortgages.

I remortgaged yesterday with HSBC. 4.95%. You could use some of your £50k to bring monthly payment down or simply draw down the additional amount each month. Not ideal but will give you some breathing room.

That sounds difficult.

Obviously not giving advice but personally I would look to get a date locked in 6 months before renewal and keep an eye on other options. Current best rate is about 4.5% which is a massive difference to 6%.

The point on 50k lasting 13 years of top ups is a good one as that's a massive amount of breathing room to adjust income and outgoings. I'd look at front loading it too (whilst being clear it's advance payment) to reduce interest overall.

Don't forget with inflation what's left at the end of that will be worth less than it is now compared to everything else. There's no reason a £75k wage now couldn't increase to over £100k from inflation alone in that time.

Personally I think you'll be ok, even if it feels overwhelming now.

Why would you do that when you have so long left?! You need to calm down. That makes zero sense.
Youre earning more than enough to cover this payment. You’re getting 50k too.

Please go to a mortgage provider, mine was gone in June was 3.4% for 2 years. Also extend the amount of years that brings the payment down.

It's a year away! None of us know what will happen during that year.
When the time comes, talk to your lender, who will want to help you, it's in their interests for you to be able to pay your bills.

Apologies if this has already been said, but perhaps consider looking into an offset mortgage? Where you can use your savings to offset the notional balance on the load for the purpose of interest calculation - so you can still access the £50k but can use to reduce the interest you pay?

That is correct. Assuming OP has money in cash ISA. If she maxed out on her ISA and the rest of savings are going into a standard savings account it is likely that the money would be better spent on overpaying the mortgage (particularly, given that she is a higher rate taxpayer)

We gotta remember fixed mortgages rates aren’t priced on BBR.

BBR might rise but the fixed rates could be lower at that moment in time depending on the economic climate

Because more of it comes off the capital repayment.

We overpaid on our lower rate when remortgaging was imminent because it meant less of a mortgage was being repaid at higher rate of interest when we had to remortgage
Alternatively if interest on savings is higher, my family members put overpayment money into savings and then paid it off in lump sums however I knew that I would likely dip into the savings if they were sat there whereas I overpaid by £400 a month as soon as I was paid so then had to really budget the rest.
Just depends how you want to do it.

I was in a similar position as a lone parent but used the time between the low rate and impending increase to overpay weekly as well by standing order as the usual monthly payment by direct debit . Even a small regular amount makes a real difference and you can adjust it up or down if you have an unexpected bill, as needed, each week . My ex at the time started to do the same with his mortgage . When it came to renew at a higher rate ,his payments were actually less! I've now paid mine off ,but I'd really recommend the extra weekly amounts as it brings the interest down each month .You can track your progress on your mortgage calculator and play around with how much difference it would make if you paid X amount ,and calculate a future forecast at X interest rate,which really motivated me.I'd put the 50k into a high interest account and decide what to do when it's time to renew xx

But that doesn't account for the fact that the money overpaid could be earning interest in a cash ISA at 4.5% while the OPs mortgage is only costing her 2.7%.

OP if you have spare money you need to save it until the end of the fix and use it then to overpay, not now.

Probably not though because you’ll have an erc to pay and you have no idea what mortgage rates will be when your fixed rate ends.

the base rate my rise but that doesn’t mean fixed rate mortgage rates will rise from where they are now.

it’s a fools errand trying to predict the market

Go to a mortgage broker who takes commission from the mortgage company you go with rather than you. We have used the same man for 15 years and he takes his time to talk to us about our financial situation and explain scenarios and options. He has always found a workable solution for us.

Absolutely not. That’s your panic talking

No as you would likely have early repayment charges.

Get a broker in place 4/5 months prior to renewal as you can lock in rates from 3/4 months prior to renewal and cancel if rates drop.

Because currently more of your money goes towards offsetting capital. I suppose, it doesn't really matter when it comes to overpayment as all of it goes towards capital anyway as interest is covered in your monthly payment. But the overall burden is lower because the product is cheaper so now is a good time to make those overpayments vs. when you go up to 1.3k and will have to use the money you could have used overpaying on covering this extra interest increase.
For example, my current mortgage is £920 a month, when the fixed rate ends, it will go up to £1200. So I can actually use £300 a month to overpay the mortgage while it is still "cheap" and end up with significantly reduced capital at the renewal. An option which may not be available to me after my monthly payments go up.
As a rule of thumb, I overpay by the exact amount of interest every month which, I know is a hefty chunk out of my disposable income but it helps in the long term.

For the overwhelm, panic and voice in your head that is foreseeable doom, albeit your situation is difficult as a single parent, thus voice is not your friend. Change the soundtrack. I am enough, I have enough, I have all the skills and resources I need to figure this out. Repeat . Your mind does not have to believe this for your body and nervous system to benefit.

I can’t give advice on this part because I don’t know what it going to happen over the next 5 years, that is what makes this difficult.

You can only control what you can control though.

I want to say, you’re a single homeowner and that’s great! You have a job and it’s not minimum wage. I’m going to assume you’ve worked hard to get here, so give yourself a little break. If you’ve managed all that, you can manage this next challenge too.

Firstly, make sure, while you’re on 2.7%, that your 50k is invested well and returning at least 5% in an account.

Now, think about how much you have in savings. If you’ve got a nice little emergency fund, I’d start taking at least some of those 350 a month and diverting that to the mortgage.

Next, time to reduce expenses. You might already run a tight budget, but everyone has something they can cut, so think hard. Last time I went through my budget, I managed to save 240 a month. Not everyone will have this much they can cat back, but even 20 dollars is 20 dollars. Immediately put this extra into the mortgage too.

Then, think about some ways to make a little extra. Can you rent out a room for a while? Do some pet sitting or baby sitting in your home (so you can still have your own DC there). We don’t know your skill set, but there’s probably something you can do. Start planning for a more budget friendly Christmas etc.

You can do this! I’m sure you can, so time to sit down and make a plan. Between savings and a wage increase, a few cut backs, and if needed, when the rate changes, reduce the mortgage by 50k. You’ve got this!

Edited to add: Mortgage stress is awful. Ours is done now, but I’ve been there. It was many years ago and rates were so much higher, we were mortgaged to the hilt and my DH lost his job. I was working, but it wasn’t enough. I remember crying a lot too. He delivered pizzas for 2 months until he got another job, we held on by our fingernails. Stressful, but worth it. I’m sure you will be determined enough to find a way.

No. Contact a broker.

You need a good mortgage broker.