What is a good mortgage rate?

[CatsNotDogs]

Because I have no idea at all. Is 1.89% good?!

It’s depends on your LTV mine is 60% and my rate is 1.4 rates are low at the moment. What’s your LTV?

1% good
2% ok

depends.

When I took my mortgage out it was 3.09%. That was 6 years ago. That was good at the time I think, and considering out LTV. It is now 1.69%.

I'm trapped on 4.38!

Anything less than 2 is really good in my eyes

Yeah depends on ur LTV and if you're taking a fix, how long for..

We are on 1.59 2 year fixed 50% ltv. Was slightly higher because the broker could get this through a lot quicker, took under 2 weeks as opposed to 6 weeks for the original deal (1.45) years we found

My LTV is 79%

I would be happy with 1.89 with a 79% LTV.

@Bubbles1st that’s awful I hope you are able to find a way out in the not to distant future.

Sounds like a good rate at that LTV OP

Ours is 1.49% and we fixed for 5 years.
Before it was 3+ (Again fixed for 5 years).
So I was over the moon with ours!
I think 1.89 is pretty good.

@MyDcAreMarvel thanks 😊
We are recently self employed so we have to wait until we have enough tax returns. It's fine; mortgage is less than if we rented over the resentment stage - not healthy!
Lots of other mortgage prisoners in far worse situations so I'm grateful I can afford mine still 🙏🏼

@Bubbles1st yes it’s a better situation than those stuck in negative equity. And you are paying your mortgage not someone else’s.

"Mortgage is less than if we rented"

Same, I rented for years but was lucky enough to claw my way out of it eventually. My mortgage repayments are less than half of what today's rent would be, it's absolutely shocking. You wouldn't get a half decent house for less than £800 here and it's a good 100 miles from London.

The answer is 'it depends'.

For example I have recently renewed my 5 year fixed rate.

My mortgage is around £45,000

I had 2 options

1.89% with no starting fee OR

1.54% with a £2000 starting fee.

By working out the maths, it was cheaper to opt for the 1.89% due to my relatively low mortgage amount.

I'm on a 2 year tracker at the moment, 1.29% (1.19% + base rate). LTV was 83.7%.

1.39% with Nationwide

1.42% for 5 years with NatWest. We remortgaged recently after 5years on 3.5ish

1.70% with Halifax, just taken out over 3 years. Our LTV is 69%.

I am on 0.35 above base rate on lifetime tracker so pay 0.6 which is brilliant. I am overpaying and have just over 3 years left to pay.

It's pretty good in the current climate, but is there a fee attached?

Sometimes it's worth paying a fee to get a lower rate, but that depends on the mortgage amount and length of fix. It probably wouldn't be worth paying a £1k fee for a 2 year fix on a £100k mortgage, but it might be for a 5 year fix on a £300k mortgage. There are calculators on the internet that help you work this sort of thing out. Also put your circumstances into Moneysupermarket to see what rates you qualify, or talk to a broker.

Also, are you certain of your LTV, because at 79%, it only takes a small reduction in what your lender thinks your house is worth for the LTV to increase past 80%, at which point, you might not qualify for the rate you are looking at.

We're also on a historical low margin tracker, so are paying 0.48% (carer if you're 0.35% above, you're actually paying 0.45% as base rate went down to 0.1% remember ) but we're not overpaying as can still just about get more interest in savings - managed to get £2.5k at 5% from Nationwide before they pulled it, which sounds like an astonishing rate now - that £2.5k is earning more interest than what about 70% of our mortgage is costing us in interest. Plus the rest is more than covered by premium bond prizes.