Fixed rate mortgage deals become more competitive.
A new 10 year fixed rate mortgage has been launched by the Skipton BS.
Falling swap rates have enabled the Skipton Building Society to launch a 10 year fixed rate mortgage for up to75% loan to value at 4.49%. The new deal comes with fees of £995. The Co-op has also launched a 10 year fix for 75% loan to value at a rate of 4.99% with a fee of £999.
Longer term fixed rate mortgages are not suited to all home-owners. For the very cheapest mortgage rates some home-owners are prepared to accept a degree of financial risk, for those a tracker product is more appropriate.
The security of knowing rates will remain the same for 10 years comes at a premium and 10 year fixed rates are more expensive than those offered for 2, 3, 5 and 7 years.
However while it is true the rates are higher, in economically challenging times a long term deal can prove the right choice for some home-owners.
However a lot can happen in 10 years. What if you want to move home?
When reviewing 10 year fixed rate mortgage deals it is important to consider that you may want to move home. With a longer term deal it is essential to ensure that you can either port your mortgage to a new property or repay it in advance with no early repayment charge.
Deal Direct are a 'whole of market' broker who can help you decide if a 10 year fixed rate deal is the right mortgage for you.
Contact a Deal Direct adviser today.
