Elcato is right.
Talk is rates will rise in fourth quarter. If they do, there are often several of them in quick succession. (See US and UK rates as examples.) The hard question is whether the state of the German and French economies is bad enough to keep rates at the levels they are at.
You could:
- go all variable via tracker;
- go all fixed for 1,2,3,4,5 or 10. There is a cost difference and you could compare that to the variable;
- you could go 50/50
- or you could purchase a CAP;
- you could go variable and lodge the difference between that and a fixed in a 'reserve' account to draw on later if and when rates rise.
If rates do change all the fixed rates will be even dearer.