The 5 year rate demonstrates that the banks expect long term falls

however, that's not to say that if you took the 2 year rate today, the rates would necessarily be lower at the time it comes for you to re-mortgage again than the 5 year rate today.

I'm risk averse, and therefore if happy with the 5 year rate I'd take it for fear of being locked in with a higher rate in two years time.

the cheapest option might actually be a variable rate, if you trust that we're not far off the peak of interest rate hikes. That wouldn't be for me as noted above, I'm too much of a nervous nelly.

Posted By: SimonOTBC on February 2nd 2023 at 11:06:17

Message Thread

Wrath Knowledge bank - Remortgaging, go for 2 years at more or 5yr a bit less (General Chat) - megson, Feb 2, 10:29:07
- Only a fool predicts the future (General Chat) - paulg, Feb 2, 13:59:24
- Mortgage brokers (General Chat) - Eric Morecambe, Feb 2, 13:40:31
- Determining factor for me was uncertainty in 2yrs (General Chat) - CWC, Feb 2, 13:05:12
- Best advice I can give (General Chat) - seminated_woolly, Feb 2, 12:30:07
  - It's a forum for fans (General Chat) - norwaay, Feb 2, 13:02:56
    - I'm sorry but, as football fans, we know (General Chat) - jamesward, Feb 2, 13:39:21
      - None of us seem to know anything about football either (n/m) (General Chat) - Adster, Feb 2, 13:42:23
        
        True, we're all imbeciles (n/m) (General Chat) - jamesward, Feb 2, 13:44:38
- Pay it off, job done (n/m) (General Chat) - CB41, Feb 2, 12:11:04
- There’s a lot of unknowns over the next 5 years, principally a Labour government and (General Chat) - Old Git, Feb 2, 11:33:07
- From what I’ve read mortgage rates will drop (General Chat) - SCC 28, Feb 2, 10:40:37
  - We got offered 4.73 on 2 years 4.14% on 5, according to the Broker I checked these with (General Chat) - megson, Feb 2, 10:50:58
    - The 5 year rate demonstrates that the banks expect long term falls (General Chat) - SimonOTBC, Feb 2, 11:06:17
      - The other way of looking at it.... (General Chat) - SimonOTBC, Feb 2, 11:12:34
        
        Thanks both of you, interesting thoughts. You are right it basically comes down (General Chat) - megson, Feb 2, 11:17:13
        
        I would think of it this way (General Chat) - Under soil heating, Feb 2, 14:12:48
        
        Just toss a coin that way it’s destiny (n/m) (General Chat) - SCC 28, Feb 2, 14:25:06
        
        I think I'd go 2 years..... (General Chat) - SimonOTBC, Feb 2, 11:21:36
    - That’s pretty good (General Chat) - SCC 28, Feb 2, 11:00:53

Reply to Message

In order to add a post to the WotB Message Board you must be a registered WotB user.

If you are not yet registered then please visit the registration page. You should ensure that their browser is setup to accept cookies.