# Tracker or Fixed Mortgage?



## TheTack (2 Feb 2010)

Hi,

Im on a tracker rate mortgage, and Im currently paying a low rate on my mortgage, but Im kinda worried that it might shoot up when the interest rates start to climb again, 

Im thinking I should change to a fixed rate for security in the long run while the interest rates are low !

Any Advice appreciated.

Thanks


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## pjmn (2 Feb 2010)

*Re: Tracker or Fixed Mortgage ???*

Doesn't have to be an all or nothing question - based on your financial circumstances you could consider fixing part of your a mortgage and leaving the other part on the tracker variable....


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## NorfBank (2 Feb 2010)

*Re: Tracker or Fixed Mortgage ???*



pjmn said:


> Doesn't have to be an all or nothing question - based on your financial circumstances you could consider fixing part of your a mortgage and leaving the other part on the tracker variable....



Unlikely a lender will allow you to fix part and keep the other part on the tracker. You will be allowed to split your mortgage but on a fixed:variable basis.

If you fix you may save while interest rates increase but at the end of the fixed rate you will then revert to a variable rate which will be a lot higher than your current tracker. If you only have a short time left on your mortgage then fixing may make sense but if your mortgage still has a long time to run, fixing to try and time the market would not be too clever.

Unless interest rate increases will overstretch you,  keep hold of your tracker.

www.moneybackmortgages.ie


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## pjmn (2 Feb 2010)

*Re: Tracker or Fixed Mortgage ???*

Take your point but OP was asking an all or nothing question, I was only pointing out there is another option...

Additionally, given bank's angst to get out of or reduce their tracker exposure, they may be willing to reduce their tracker expsoure by agreeing to part fix - am aware of cases where this has happened with both of the main lenders...


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## TheTack (4 Feb 2010)

*Re: Tracker or Fixed Mortgage ???*

ok thanks guys


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