Freddy Finance
To Fix or Not Fix The Rate of Your Remortgage
We hear in the news almost daily about there may be a double dip recession and this is not what you want to hear when you are thinking of remortgaging your home.
We continue to see the main high street banks lending even with the possible double dip recession on the horizon, but they are definitely tightening up on their criteria, meaning limiting to who they will lend too.
Fixing your interest rate is an option to someone who worries about changes in their outgoings; a fixed rate remortgage monthly payment will not change when the Bank of England changes the base rate and will not be affected by any changes in lenders criteria during the fixed term.
Lenders offer fixed terms up to ten years, but mainly up to five years is available at a competitive rate. A fixed term remortgage can be obtained direct from a lender if you want to do the searching and coordinating or from a broker if you want them to do the work for you.
Whether you go for a fixed rate or a variable, you will have to pay fees whether you go direct or go through a broker. Normally there are fees at the application stage, for the valuation of your property, for the solicitor, and from the lender and brokers for their services. Either going via a broker or directly, these fees are payable. An authorised broker will try and find you the product or deal that best suits your personal situation.
