Would you fix again

B

bigjoe_dub

Registered User
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coming to the end of the 6th year of my mortgage. have had the interest rate fixed for those 6 years. (2 x 3 year terms) overall it has been in my favour.

I am now been offered another 3 years at 5.69%.

what are people views in terms of accepting this or just going variable for the moment?
 
Disregarding the ins and out of fixed v variable for a minute, the 5.69% 3 year fixed is not the best in the market.
AIB have a 5.2% fixed rate, depending on how much you have outstanding you could recoup the cost of the legal fees involved in switching and more by going for the lower rate.
If you had asked between a tracker and fixed then there would only be one winner for me but in relation to variable rates, nobody knows how much of the rate cuts will be passed on by the banks. At least on the fixed you know where you are for the next 3 years but as you probably know there may be a penalty for early redemption, you may not be able to pay back lump sums or overpay the mortgage.
As ever the advice is don't try and time the market, weigh up the pros and cons of each for your personal situation and come to a conclusion from there.
 
bigjoe_dub said:
........ overall it has been in my favour............
Click to expand...

I have never fixed in 10 years of mortgage life but have watched the rate with the particular offers of fixing and I would never have beaten the bank. I bet 90% of people who go fixed may have been better off on the variable.
 
I disagree ive been on a fixed mortgage since april 06 (4yr term)

And bar the first 8 mts have been on a winner since - rate 4.6%

I will size up my options in April 10 and will possibly go on a tracker
but will look at the market situation when that opportunity arises
 
not a good time to fix at the moment. Rates are on a downward trend for at least the next 6 - 12 months (fingers crossed)

If I was interested in a fixed rate I would wait another 6 months or so as chances are that fixed rates will be lower then and so you will get a better fixed rate.

let me know if you find a tracker?
 
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