Should I fix or move mortgage providers

Hi all,
I hope you are well, I hope you can advise me about our mortgage.

Yesterday I recieved from the EBS (our current lender) our mortgage statement, and it details the amount of interest paid last year (€16,000) and for '07 it estimated we would be paying (€18000).

Mr. Bear and I have a mortgage of €379k and are on a tracker of 1% above ECB rates. Late last year we went to a broker about switching and he was unable to help us as Mr. Bear has started a new job and wont be made permanent until April. He also said that NIB would not give us a mortgage based on our salaries (50K and 40K) as we would be borrowing too much...

At the moment, our current mortgage is 37% of net pay. We have no loans or visa card debt but we do have savings... Our LTV is about 62%.

The question is with rates looking likely to increase probably in March, should we fix our mortgage for a year and try to switch to NIB after that. Or should we wait until May and try and switch to NIB...

Many thanks in advance

There are plenty of exisiting posts dealing with the pros and cons of fixing if you do a search. General rule of thumb is that you should only do it if you can't afford rates to go over a certain point.

I am not surprised the broker said NIB wouldn't give you a mortgage. As far as I am aware they don't deal with brokers so there would be no business for him if you went with them. Contact them directly instead of through a broker. You might be surprised.

Thanks Sunny, will try that, the broker told me that unlike most banks NIB will only loan out 3 times combined salary, rater than the 40% net that other banks use..

pinkyBear said:

Thanks Sunny, will try that, the broker told me that unlike most banks NIB will only loan out 3 times combined salary, rater than the 40% net that other banks use..

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Could be right but no harm in asking them yourself. Only costs the price of a phone call. The worst they can do is say no!

Could be right but no harm in asking them yourself.

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Your right, I have rang them several times, but they haven't yet got back to me. I'll just go in to a near by office some time soon. Ta sunny