I personally wouldn't likely go for the tracker rate, I would fix at the best deal I can for 5 years as I am quite risk-averse and it has been a good decision so far.
Banks change mortgage rates faster than home buyers change their purchasing decisions. Hence, lets say you could get whole 1% better on a mortgage rate if you waited until it was at its lowest rate.... But by that time buyers would have bid up house prices beyond what you'd saved on that interest rate. Personally i think if you can get anything like 4% fixed for 2 to 5 years then go for it, because if mortgages go down to 3% then house prices will go up by more than waiting. Try to drive a good bargain price, that will save you more than 1% for 3-5 years.
@@matthewspry4217 I'd say more like 0.75%, there is an absolute mess unfolding. Caveat here is if they do something ridiculous in the budget, which I'm fully expecting
My 2 year fixed runs out in January 2025 but I'm in no rush to take a new deal. Will wait until late November/ early December. Will remain with current provider Nationwide so quick and easy to remortgage. Will definately be a 2 year, possibly a tracker.
You can go on Nationwide's mortgage calculator and see what sort of deal they will offer you even before the 4 months before your fix ends. Best they are offering me on a 5yr fix is 4.11 % with zero fee, which is not good enough! I want BETTER!
Currently in the process of buying and will be done in 4 weeks, I think I'll just miss the big drops. So either 4.55 at 2 years or 4.17 at 5 years, not sure.
I fixed 5 years ago on 2.16% (the good old days 🥹). My mortgage deal ends this month and after much reflection I'm fixing at 4.11 for 5 years instead of around 4.6 for 2. If I take a 2 year deal every rate drop over the next few months will feel like a punch in the guts. Too much volatility with what's happening in the world just now, at least I won't have to worry about it for 5 years. 👍🏼
Any idea when BM solutions are going to significantly reduce btl mortgages? My friend who works for halifax said that BM have too much of the marketvshare in this sector and that's why they aren't reducing them, I had to tie into them for a 5yr at Xmas which is is killing my profit, wondering whether to pay an ERC to get a cheaper rate in the short term if they start reducing them.
Yeah its strange 5 years ago BM was the best lender for Buy To Let more recently I dont see them as competitive. I would leave them and look at Mortgage Works as they have some great deals.
I dont like the 10 year deals in this market. I think something will happen to drop rates again (Recession, Black Swan event) then I would consider 10 year fixed.
My 5yr mortgage is due to renew in April with TMW .I’ve got 55% equity and it’s at 4.49 % now, what do you think it will be in march? I’m thinking 3.8% 🤞
Read MORE about it on our blog: property-accelerator.co.uk/falling-mortgage-rates-lock-in/
I personally think it’s best to wait till October /mid November if your fixed rates deal coming end now if not just fix it now!
that contradicts
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I personally wouldn't likely go for the tracker rate, I would fix at the best deal I can for 5 years as I am quite risk-averse and it has been a good decision so far.
And thats the right thing for you, I would do the same for myself. Whatever your risk levels are is what you should pick.
Banks change mortgage rates faster than home buyers change their purchasing decisions. Hence, lets say you could get whole 1% better on a mortgage rate if you waited until it was at its lowest rate.... But by that time buyers would have bid up house prices beyond what you'd saved on that interest rate. Personally i think if you can get anything like 4% fixed for 2 to 5 years then go for it, because if mortgages go down to 3% then house prices will go up by more than waiting. Try to drive a good bargain price, that will save you more than 1% for 3-5 years.
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My 5 year buy to let mortgage ends late december next year so hope there will be a good few rate reductions by then.🤞
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Two more months of pain, hold on a bit longer. The BOE will be forced to drop rates
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@@propertyaccelerator 2.75% expected in 2025
@@matthewspry4217 I'd say more like 0.75%, there is an absolute mess unfolding. Caveat here is if they do something ridiculous in the budget, which I'm fully expecting
My 2 year fixed runs out in January 2025 but I'm in no rush to take a new deal. Will wait until late November/ early December. Will remain with current provider Nationwide so quick and easy to remortgage.
Will definately be a 2 year, possibly a tracker.
You can go on Nationwide's mortgage calculator and see what sort of deal they will offer you even before the 4 months before your fix ends. Best they are offering me on a 5yr fix is 4.11 % with zero fee, which is not good enough! I want BETTER!
👍
Currently in the process of buying and will be done in 4 weeks, I think I'll just miss the big drops. So either 4.55 at 2 years or 4.17 at 5 years, not sure.
Thats still much better than last year, enjoy your new property. 🙌
Maybe go for a 2 year and fix for 5 year when that ends? But it all depends on your yield?
Tracker?
I fixed 5 years ago on 2.16% (the good old days 🥹). My mortgage deal ends this month and after much reflection I'm fixing at 4.11 for 5 years instead of around 4.6 for 2. If I take a 2 year deal every rate drop over the next few months will feel like a punch in the guts. Too much volatility with what's happening in the world just now, at least I won't have to worry about it for 5 years. 👍🏼
Great video as per usual. Do you know if BM solutions have cut their rates? They always seem to be the last for some reason.
Interesting question I used to have 5 mortgages with them but never see them as competitive recently. Will take a look.
@@propertyaccelerator exactly. I have asked my broker 3 times over the last 6 months and no movement. Cheers and thank you
Any idea when BM solutions are going to significantly reduce btl mortgages? My friend who works for halifax said that BM have too much of the marketvshare in this sector and that's why they aren't reducing them, I had to tie into them for a 5yr at Xmas which is is killing my profit, wondering whether to pay an ERC to get a cheaper rate in the short term if they start reducing them.
Yeah its strange 5 years ago BM was the best lender for Buy To Let more recently I dont see them as competitive. I would leave them and look at Mortgage Works as they have some great deals.
Thank you Sir
Most welcome
What are your predictions for March next year (when I can select my new deal) with 40% equity and July next year (when my current fix actually ends)?
I think 3.5% will be common.
What about the 10 year deal, at least less risk for quite some time on a 19 year mortgage, or would you say that’s not such a good idea?
I dont like the 10 year deals in this market. I think something will happen to drop rates again (Recession, Black Swan event) then I would consider 10 year fixed.
My 5yr mortgage is due to renew in April with TMW .I’ve got 55% equity and it’s at 4.49 % now, what do you think it will be in march? I’m thinking 3.8% 🤞
I think around 3.75% by April
Fix for 2 years or 5 years for first time buyers?
Your broker will give you the best advice compared to your situation.
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