Find the best value fixed rate mortgage deal with Independent Mortgages Direct NE - the impartial search resource you can bank on.
What is a fixed rate mortgage?
A very popular option for first time buyers, fixed rate mortgages are offered by over 150 companies. We can help you avoid the confusion and hassle of finding the right fixed rate deal by searching every lender across the UK.
Unlike discounted or tracker mortgages, a fixed rate mortgage means that you will pay the same amount of interest for an agreed time (usually 2-5 years). Often the rates are slightly higher than a variable loan, but they offer the security of knowing that if interest rates go up, your repayments will remain the same.
Pros and cons of a fixed rate mortgage...
- One of the most popular types of mortgage with first time buyers, as it offers stability and allows you to control your budget more effectively.
- This also makes it the favourite choice of young families and single homeowners who don’t want to take the risk of a large rise in interest rates - which would mean an increase in monthly repayment amounts.
- If you expect there to be changes in your financial circumstances in the near future, a fixed rate is usually the best option.
- However - if interest rates fall, you won’t see the benefit.
- When your fixed term ends, your payments may rise as you switch to the normal variable rate.
To find out if fixed rate is the right mortgage for you, call us on 0800 0350095 for a FREE consultation.