Many people will be reaching the end of their fixed terms and feeling nervous about the interest rate rises.
Below are three tips to stop you paying more than you need to on your mortgage rate:
1- Don’t let your mortgage get to the Standard Variable Rate. There are a few instances when the SVR could be suitable for your circumstances however most of the time it will lead to you paying more in interest than is necessary.
2- You don’t have to wait until your current rate expires. Many providers let you fix a rate up to 6 months before your existing rate expires. The new rate will then kick in automatically the day after your current rate expires. With interest rates projected to rise, waiting could see a huge jump in cost so for some it can be helpful to fix early.
3- Speak to a mortgage broker as they could have access to rates that you don’t. One of our clients recently saved £100 per month on their mortgage by coming to us rather than remortgaging directly with their Lender. On their 5 year fixed mortgage- this was a total saving of £6,000! With the cost of living increasing, having extra cash was desirable.