Crystal ball please! 2 or 5 year fix on a mortgage deal?

[Pittapatcat]

I'm about to remortgage as my deal is coming to an end. What would you go for a 2 or 5 year fix?

The deal is coming up as 3.19% for both 2 and 5 year fixes.

The big crystal ball question is will interest rates go down in 2 years or go up and up. I haven't got a clue and am not financially aware enough to take an educated guess.

Any wise mumsnetters able to advise?

We fixed for 5 as wanted the security of knowing we could afford the current rate for a long period of time

We fixed at 10 years 3 years ago. So glad now

I would fix for 5 years. Even 3.19% is a pretty low rate whatever happens.

We’ve just fixed for 5 years. Whatever is coming it’s going to be uncertain and the downside risk looks worse than any upside gain in our eyes.

I was thinking 5 year fix. But we may move in 2 years or so. Not 100% sure though as it depends on how finances go. So a 5 year fix would mean hoping that the bank would port our mortgage. I think it's pretty normal to port if we did move?

In exactly same boat. Our mortgage deal expires in jan 2023 so we are trying to find a good fix as early as we can as we know things are only set to get worse. We also have to choose between 2 and 5 year- I think we will go for 5 year. We are quite horrified by how much it will be going up on this new deal as it is, we are budgeted down to last £1 every month so no idea where we will find an extra £160 from tbh. Especially with rising cost of food and fuel. We are a household with 2 DC and with an annual income over the UK average- if we are in this situation I can't imagine what other households on lower incomes must be feeling right now. It's awful.

You should be able to find out at the outset whether it would be portable.

The lender said it was portable. But I spoke with an advisor at L&C brokers and they said that lenders say that but then turn customers down so not to rely on it. It's so confusing!

5 years
This government are here for another 3 years
Everything they do is to put up costs for people like us and make money for themselves and/or their mates.
Inflation will be over 10% by the end of this year, start planning for some very tough times.

(Yes, I know how gloomy I sound but this is what I see heading for us "ordinary" people)

Ordinary - have to work, mortgage, bills increasing but income staying the same.
No trust fund/ inherited money, no private school network, no multiple homes, no staff to assist/run your life, no lucrative directorships or second/third/fourth job that pays loads for doing v little.

We could change our deal in April and I did 5 year fixed. I wanted longer term stability.