NC and posting here for traffic
I have a small mortgage and have about 6/7ths in equity in the house. My 5 year fixed rate is up in October, and I’m wondering whether to switch early and extend the term and the sum so I can get some work done on the house. It will work out about £100 more per month. I have learned I’m a beneficiary of a relative’s will, so I’m thinking extending the term gives me the most flexibility. I’m on less than 2% now which won’t be achievable, so the question is do I switch now and increase my payment before I really need to, but with the chance to get some things done, or wait and potentially face higher increases in 6 months time?
I know all the numbers but I’m interested in others opinions. What would you do?
YABU - stick with the lower payment for as long as you can
YANBU - switch sooner and get the work done and enjoy it