Which mortgage is best – fixed or tracker?

Many people making a house purchase want to know which mortgage is best, is it a fixed rate deal or is it a tracker.

When asked which mortgage is best Deal Direct answer that it depends on your individual personal financial circumstances and your mortgage deal requirements. We can work with you to find the best product suited to your individual needs.

Mortgage customers are all different and what suits one may not suit another. When the N & P launched their 10 year fixed rate deal in January many thought that demand for a long term fixed product would be low.

This was not the case and the product became quickly over subscribed. However 10 year fixes remain a niche product and no other provider has managed to match the exceptionally low rate previously offered by the N & P.

Rates now offered for 5 year fixed deals are becoming more competitive and various products are offered at below 4%, which is cheap when considering the rates historically. Fixed mortgage rates increased steadily after reaching record low levels at the end last of summer, however rates are starting to ease back slightly.

Tracker mortgage rates are slightly higher then they were during the first half of last year with lifetime trackers sitting at levels below 3 per cent.

Which mortgage is best is really down to the individual. Fixed rate mortgage products are an option for those who want safety and to know their repayments will stay at the same level for a fixed period. Whereas trackers are an option for those who want to benefit from the low base rate while being prepared to accept the risk that the rate could rise.

Deal Direct are familiar with different mortgage providers lending criteria and we are best placed to source you a competitive deal. Our skilled 'whole of market' brokers can advise on the which mortgage is best suited to your needs.