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Original poster

Mortgage

10 replies

vinoandbrie · 01/02/2024 20:57

Our mortgage fixed term is coming to an end on 30 April. Our lender will give us a two year fix at 4.49%, no fee.

Do I reserve this, or wait and see if rates go down in the next couple of months? I’m worried this deal might be pulled, but don’t want to pay more than I have to!

Any advice appreciated!

OP posts:
Northby · 01/02/2024 21:12

We were able to lock in a rate six months prior to the end of our fixed period (5.25, which was very low at the time…), and the bank would have reduced it if a lower rate was available at the point of switching. I’d ask your bank if that is the case for this rate and if so then lock it in!

Original poster
vinoandbrie · 02/02/2024 10:48

Thanks @Northby I have now locked it in, and if rates go down I will switch!

OP posts:
Northby · 02/02/2024 11:55

Great!

laclochette · 02/02/2024 14:17

Lock it in, you're always able to drop it if things improve.

Onegingerhead · 02/02/2024 15:13

Of course reserve it, I locked in a rate of 4.07% last May (my mortgage renewal was up October 2023) and the rates didn't come down by the time I came off the old fix, so I was pretty chuffed.
Not chuffed (for myself) now, as I'm convinced there will be better rates (compared to mine 4.07%) later in this year and I fixed for 5 years..
But do reserve the rate, you have nothing to lose :)

laclochette · 02/02/2024 19:57

@Onegingerhead I locked in at 3.94 (I have a pretty high LTV, 75%) for 5 years in Oct 2022 for a May 2023 remortgage (my brilliant broker got them to extend the offer to hold for 7 months not 6...no idea how the man does it, he's a magician) and have since wondered if better rates will pop up during that 5 year window...but honestly, then I think of the stress of having to remortgage in such turbulent times, and how I'm actually ok with paying maybe a bit more than I technically could do, just to not live with the stress of checking the rates and fretting all the time!

TodayForTomorrow · 02/02/2024 20:01

Yea, we reserved a 4.78% deal back in November and we've just switched to a 3.99% before the actual expiry at the end of this month

Thingsthatgo · 02/02/2024 20:13

May I ask please - when you do this lock in and switch, is it with the same provider? Or can you lock in a deal and switch providers for a better deal?

TodayForTomorrow · 04/02/2024 13:56

In our case, it was the same provider.

Deathbyfluffy · 04/02/2024 13:59

Onegingerhead · 02/02/2024 15:13

Of course reserve it, I locked in a rate of 4.07% last May (my mortgage renewal was up October 2023) and the rates didn't come down by the time I came off the old fix, so I was pretty chuffed.
Not chuffed (for myself) now, as I'm convinced there will be better rates (compared to mine 4.07%) later in this year and I fixed for 5 years..
But do reserve the rate, you have nothing to lose :)

I’d be chuffed - you can’t put a price on stability. Knowing your rates are ‘locked’ at a pretty good number for 5 years is definitely a good thing.

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