Remortgage help

31
Posted 4th Oct
Can somebody help me to choose a remortgage deal?

I am currently with Halifax paying £707.00 monthly and my current deal finishes at the end of October.

I did some comparisons and got the following:

Mortgage amount: £110627 over 16 years ( 15 years and 8 months)


2 years:

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5 years3304454-Kw8u1.jpg

Is there a "catch"? Or should I go with the ones that are the lowest monthly payment
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31 Comments
depends what you want really if you want a short deal and pay less for the next few years then go with the cheapest monthly fee.

when mine was up a few years back i stuck with my provider they was offering a 10 year fixed with a half decent rate. it was not as cheap monthly as the 2 - 5 years ones but now i don't need to worry about renewing and finding new deals for a while...

plus the APR's may shoot up after Brexit ( or they could fall lower) but i don't need to worry about that for a while.
Yes, I am worried about the B word, I think I will go with the 5 years deal from Barclays.

Lets see if any other users give me more advice
Check MSE mortgage calculator. It allows you to compare overall cost including fee
moneysavingexpert.com/mor…es/

Also, I suggest you consider seeing a fee free mortgage broker. They will be able to give more accurate advice.
Cisco06060604/10/2019 11:51

Also, I suggest you consider seeing a fee free mortgage broker.


I didn't even know they existed. What's in it for them? Why would they give advice for free?
deeky04/10/2019 12:03

I didn't even know they existed. What's in it for them? Why would they …I didn't even know they existed. What's in it for them? Why would they give advice for free?


So cynical deekles
maccy1i04/10/2019 12:08

So cynical deekles


It's ok, our resident finance guru will be along shortly, I'm sure. He'll know he's getting the best possible advice then.
They get commission from the mortgage company you end up going with, I believe.
Penfold91104/10/2019 12:10

They get commission from the mortgage company you end up going with, I …They get commission from the mortgage company you end up going with, I believe.


So not in any way biased then? (sorry maccles, I'm at it again )
Edited by: "deeky" 4th Oct
deeky04/10/2019 12:10

It's ok, our resident finance guru will be along shortly, I'm sure. He'll …It's ok, our resident finance guru will be along shortly, I'm sure. He'll know he's getting the best possible advice then.


Off the top of my head, can't think who you mean

Does the initial term cost take into account the huge product fee you pay up front?
I'm not sure it does, also - have you tried the moneysavingexpert.com/mor…ys/ website?
They seem to do some good deals on there, better than most comparison searches I've tried.

*edit: Just seen someone else has already recommended that website
Edited by: "Bigfootpete" 4th Oct
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gcmarcal04/10/2019 11:49

Yes, I am worried about the B word, I think I will go with the 5 years …Yes, I am worried about the B word, I think I will go with the 5 years deal from Barclays.Lets see if any other users give me more advice


What if the interest rates go down ?
If you can afford the £707 you are paying now I would reduce the term to still pay the same each month on new mortgage. It will save you in the long run and you won’t notice it
deeky04/10/2019 12:11

So not in any way biased then? (sorry maccles, I'm at it again …So not in any way biased then? (sorry maccles, I'm at it again )


There is no obligation for you to sign up.
If they give you better deal then what you get from comparison website, why not?
Wadda04/10/2019 13:29

If you can afford the £707 you are paying now I would reduce the term to …If you can afford the £707 you are paying now I would reduce the term to still pay the same each month on new mortgage. It will save you in the long run and you won’t notice it


Cant I get a better deal and just change the direct debit to 700? Would that be the same thing?
Cisco06060604/10/2019 13:30

There is no obligation for you to sign up. If they give you better deal …There is no obligation for you to sign up. If they give you better deal then what you get from comparison website, why not?


The point is that they aren't necessarily going to find you the best mortgage. They're going to point you towards the one that pays them the most commission. It's not rocket science.
Hmmm - pretty sure they don’t do that - and probably you would find the companies all pay similar commission
Penfold91104/10/2019 15:17

Hmmm - pretty sure they don’t do that - and probably you would find the c …Hmmm - pretty sure they don’t do that - and probably you would find the companies all pay similar commission


Your faith in humanity is really sweet
No one knows the future - but I personally would go for 5 years. It's unlikely that interest rates will go down (by much anyway) but over 5 years it is more likely that they will rise (towards the longer term average).

Mind you - I would have said the same 5 years ago!!

Also - go for the one with the zero product fee - as fee mortgages are generally only cheaper for much larger values.
If your taking anything less than 5 year then take one without a product fee as it’s cheaper as figures quoted are without the product fee being added to the mortgage.
Also check out nationwide
deeky04/10/2019 12:03

I didn't even know they existed. What's in it for them? Why would they …I didn't even know they existed. What's in it for them? Why would they give advice for free?


Moneysupermarket and other sites are getting fee from you purchasing through them so assume its the same for free mortage advisors
Gumbon04/10/2019 20:00

Moneysupermarket and other sites are getting fee from you purchasing …Moneysupermarket and other sites are getting fee from you purchasing through them so assume its the same for free mortage advisors


Yes, and they're known for promoting those who pay the most to the top of the results.
Any independentmortgage advisor worth their sorts will freely tell you the commission they will earn on each product if you ask.
I would go for 2 years and then on the next renewal lock for 5 years.
I would go for 2 years and then on the next renewal lock for 5 years.
I will go with Barclays 5 years. Thanks for all information
gcmarcal07/10/2019 09:24

I will go with Barclays 5 years. Thanks for all information


How was the remortgage process? What is involved and how long does it take? Apart from product fee what other fees are involved?

I have stayed with Natwest the last two occasions so maybe I should switch this year?
To summarize is a pain if your are switching banks. Is the same as applying for a new mortgage. IF your circumstances have changed they will deny it.

I stuck with Halifax at the end as they had a 3 years deal that was not bad! My wife is not working at the moment and I did not want to risk applying with a different bank
rimalpatel00704/11/2019 09:32

How was the remortgage process? What is involved and how long does it …How was the remortgage process? What is involved and how long does it take? Apart from product fee what other fees are involved?I have stayed with Natwest the last two occasions so maybe I should switch this year?


You have to take the fee in account. Use this tool to compare the deals: https://www.hotukdeals.com/visit/comment/38604059/16191574
Rates are lowest ever, don’t see them dropping much lower if at all.... but that’s a guess. I’m due a remortgage in feb and will lock in a decent rate now, ready for a new 5yr fixed
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