Advice on 50/50 fixed/variable mortgage

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pebbledash

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I've had my mortgage half fixed and half variable for last 2 years. I'm happy to keep part of it variable, but not sure what's best to do with the rest.

I've been on 5.2% fixed on part of it for 2 years. I've now been offered 4.2% fixed on this part for next 2 years. Given that our LTV isn't brilliant this sounds ok to me?

I'm not in a position to switch mortgage providers, but out of curiosity, is there a website where I can compare fixed rates across different banks?

Are people more inclined to fix or stick to variable at this stage?
In particular does that 4.2% fixed rate seem good enough?

Thanks
 
Fix for as long as possible is my advice.
4.2% fixed for two years is poor.
What's the 5 year?

As you cannot switch, you shouldn't beat yourself up by comparing your offered rates to rates that are not available to you. Jealousy is a terrible thing!

www.moneybackmortgages.ie
 
The 5 year fixed is 4.95%
Dont' think I'd risk that. I'm with Ulster Bank so I actually thought that 4.2% was good enough for them.

I plan to leave 35% of my mortgage at a variable rate. I know noone can predict the future, but is the general feeling that rates are most likely to increase? I thought I read somewhere that ECB rates were likely to be unchanged for 2 years?
 
If you're on a variable rate, changes to the ECB rate will not affect you.
The variable rate can be changed at any time Ulster Bank want to.

I can see variable rates at the Irish banks increase before the rates at Ulster Bank but UB will follow suit. Banks never miss an opportunity to increase profitability.

There should not be any risk involved in fixing for 5 years. You are fixing to guarantee your repayments. Don't try and time the market.

In any event the 3 year is better than the 2 year but I would still opt for the 5 year if interest rate increases will overstretch you.
 
Thanks for your replies. I think I'll go with the 3 year fixed. In that time I would hope to have changed the LTV or my own income and possibly be able to switch providers.

My worry would be that First Active loaned to many that the more conservative banks would not (myself included!), if they have high rates of defaulters their rates might shoot up quicker than expected.
 
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