Should you switch from a tracker to a fixed rate mortgage?
Independent mortgage broker, Deal Direct, can help you to decide whether now is a good time to switch to a tracker from a fixed rate. We help you decipher all the terms and conditions of each product so that you can make an informed decision.
As a home owner, you are probably aware that the Bank of England recently cut the base rate to 0.25% from 0.5%. Consequently, you may be making the common assumption that all trackers are linked to this base rate. This would be incorrect.
When you attempt to choose a mortgage without expert advice, you may find yourself skimming through the rates to find the lowest. If the lowest rate is the only thing you are looking for, you may miss taking a comprehensive look at the implications of the terms and conditions. This can lead to serious problems, particularly when transferring to a tracker rate.
Our mortgage advisors are highly skilled and the first thing we would do is make sure you are fully aware of the term of tracker. For instance, whether the rate is:
- Applicable for an introductory period.
- Applicable for a lifetime.
We also advise on the implications of a lender including a collar or floor to their tracker product. This means the lender stipulates the minimum rate you pay, irrespective of any reduction in the underlying rate the tracker is linked to.
As so many options are available to home owners, and the complexity of the market is ever increasing, Deal Direct work very closely with you to secure you a deal that makes absolute sense.
Call one of our experts now on 0800 048 8828.
