Sorry for dragging up the old thread.
We've managed to get full approval now from UB but I'm having my doubts about choosing the 2 year fixed rate at 2.25% and am now considering the 5 year high value fixed at 2.2% given the recent contraction in the mortgage market and possible increase in interest rates over the coming years (speculation I know).
We still are likely to try and trade up in 3-4 years time but if interest rates have risen, my understanding will be that the break fee would be small or nil. I suppose the risk would be that if rates fall and we have to pay a large break fee in 3-4 years time. It would be interesting to hear what any of you would do given this choice?
We've managed to get full approval now from UB but I'm having my doubts about choosing the 2 year fixed rate at 2.25% and am now considering the 5 year high value fixed at 2.2% given the recent contraction in the mortgage market and possible increase in interest rates over the coming years (speculation I know).
We still are likely to try and trade up in 3-4 years time but if interest rates have risen, my understanding will be that the break fee would be small or nil. I suppose the risk would be that if rates fall and we have to pay a large break fee in 3-4 years time. It would be interesting to hear what any of you would do given this choice?