Mortgage
Miracle
Mortgage Types
Other Information
Fixed Rate Mortgages
Fixed Interest Rate Mortgage
A “fixed rate” is like a product you buy off the shelf: you buy an interest rate for a particular period, from 1 to 25 years and nearly anything in between. This provides you a maximum level of security in your monthly budgeting because it just doesn’t matter what’s going on with the economy or interest rates, your monthly payment will stay exactly the same for the length of the fixed rate.
As well as this level of security, most mortgage lenders will let you move home and take the mortgage with you without charging penalties. If you want to pay your mortgage off more quickly, most lenders will allow you to make overpayments every month or year.
So you’ll see, maximum peace of mind and some flexibility in there too.
The downside ? Well there are a couple. If you wanted to pay off the whole of the mortgage early, within the fixed rate period, you will most probably face an “early repayment charge”. Second, if rates do start dropping generally, your mortgage might start to look more expensive but that may not be a priority to you if it’s your bills and not the Financial Times that interests you.
All you need to know now is that our brokers will make sure that you only ever take on a mortgage product that suits you now and in the long term so you’ll be discussing this before any decisions are made.
Just complete the form and we will do the rest.