How do the best fixed mortgage deals compare with your current mortgage?
If you are paying a higher interest rate, the best fixed mortgage deals could save you money. Call Deal Direct for a comparison of your current deal with the best offers in the market.
Although there are individual exceptions, mortgage rates on average are tending to rise. Uncertainty about the stability of the eurozone may be having a negative influence on lenders rates. Whether you fix your rate depends on whether you want to pay a small premium for the security of knowing what your repayments will be.
Current premiums for fixing are comparatively low so the best fixed mortgage rates can be favourably compared with tracker rates currently available. Some of the best 5 year fixed deals are available at just 3.79% compared to 3.29% for a lifetime tracker set at 2.79% above the base rate. This is just 0.5 % extra for the security of a fixed rate for five years.
The best 2 year fixed rates are even lower at just under 3% for 60% loan to value but the risk of a two year deal is that rates could rise as these deals end. However some predictions suggest that the Bank of England base rate will stay low for at least another 2 years or even until 2016.
