Refixing 2 or 4 years?

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Parazard2

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I would greatly appreciate it if someone could help me understand what the potential ripple effects of ub exiting the market on mortgage rates.
My fixed rate with them is up in a few months and I need to decide what to do. I have small kids and childcare expenses. I am currently on their 2.3% rate and can fix it again for either 2 or 4 years for 2.2%. Should I try fix it for as long as possible or the opposite? Are rates likely to go up with less competition and a potential post covid-19 recession?
 
Brendan Burgess said:

Key Post - Should an existing Ulster Bank customer do anything before their mortgage is sold to permanent tsb?

Ulster Bank is nearly the cheapest lender at the moment while permanent tsb is the most expensive. Anyone who moves to Ulster Bank who is not on a tracker will find themselves paying a lot more when they move to permanent tsb. If you have a cheap tracker with Ulster Bank, you don't need to do...
www.askaboutmoney.com
Click to expand...
Excellent thank you. But if cash flow was a hit of a consideration in the short term (I. e. 6 months) so that even 1500 would need to go elsewhere, would the next best option to fix for 2 years AR 2.2 and switch to avant then?
 
You can't know now what will happen in two years. You might be stuck with Ptsb because lending has dried up.

If your plan is to switch to Avant and they approve it, you should go for it now. Borrow the €1,500 if necessary. You will get it back quickly enough.

If you can't switch, then I think you should fix for 4 years. I would not like to be at the mercy of permanent tsb in 2 years. I wouldn't like it either in 4 years, but at least I would have had the lower rate guaranteed for 4 years.

The other option is to fix for 4 years and whenever you have the money to switch, then break out of the fixed rate and switch.

Brendan
 
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