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Hi All....
I've just over 4 months to go on a fixed rate mortgage (4.89%) (30 Nov 2009) and have been keeping a close eye on other fixed rate mortgages for a while. With the probability that fixed rate as well as variable rate mortgages are about to increase, I rang my mortgage provider today to get an update of the breakage penalty, which they quoted as (approx) €3,500. My next payment is on 01 Aug but its hardly likely to change the penalty much as its calculated daily.
So do you think its worth paying off the 3,500 euro for long term gain on a better rate available now? Or take my chances and wait til December and see what the rates are like then, with no penalty? Just afraid I'll miss the boat on good rates for a 5 or 10 year fixed rate! Any opinions welcome!...
I've just over 4 months to go on a fixed rate mortgage (4.89%) (30 Nov 2009) and have been keeping a close eye on other fixed rate mortgages for a while. With the probability that fixed rate as well as variable rate mortgages are about to increase, I rang my mortgage provider today to get an update of the breakage penalty, which they quoted as (approx) €3,500. My next payment is on 01 Aug but its hardly likely to change the penalty much as its calculated daily.
So do you think its worth paying off the 3,500 euro for long term gain on a better rate available now? Or take my chances and wait til December and see what the rates are like then, with no penalty? Just afraid I'll miss the boat on good rates for a 5 or 10 year fixed rate! Any opinions welcome!...