Mystic meg and mortgages

That's been pretty much my strategy. Reasonably happy with it. I did think the rates would come down a bit quicker than they have, but they are creeping down. Current 2 year is coming to an end. I think we'll do another 2 year. Now have enough in the ISA now to pay the lot off if rates do go crazy, if they continue to come down then we'll be quids in. 

No point trying to second guess Trump. Even he doesn't know what he's going to do. It does look like the markets have survived his recent nonsense 

I'm moving house next month. (From quite near the Tweed Valley to across the road from the Golfie😁) Taking the bulk of mine with me as it's still 1.8% for two more years, borrowing a bit more at 4.4% for five years.

My thinking was 4.4% is historically low, it's only recently that that has been considered high, but also as it's on a small proportion of the whole it's not that expensive for me to end it and go for a lower one if rates ever do get back to 2%

Given no one can accurately predict rates it comes down to a personal choice in how much extra you're willing to pay for peace of mind. With only 7 years left then personally I'd be tempted to go with 5 years if it wasn't a massive premium over the 2 year rate - just one less thing to worry about given the global financial mess Trump is causing.

With only 7 years left then personally I'd be tempted to go with 5 years if it wasn't a massive premium over the 2 year rate - just one less thing to worry about given the global financial mess Trump is causing.

That's what I did a couple of months ago - the difference between 4% and 4.5% was about £12 a month. I'd rather take the peace of mind for that kind of difference.

Incidentally, 5 year rates are slightly cheaper than 2 year rates at the moment - I suppose the markets expect rates to go down, and Trumps recent shenanigans make that look a bit more likely. But I still wouldn't want to bet my house on what Trump does next!

Incidentally, 5 year rates are slightly cheaper than 2 year rates at the moment

Yep that's true, might do that.

5 year, I can't see rates going much lower but there's lots of scope for upside.

I've gone for 5 fixed at 4.23 after a spell at 1.69. By the end of this period, all being well with the current level of overpayment it'll be done. I realise I 'could' make more with money in savings, but personally I want to see my mortgage gone and our Isa rate is close enough to that as an interest rate at this point. 

Once I got under 5 years left (tracker) the changes in interest rates did not have a huge impact on my monthly payments as there was less outstanding compared to when we were starting out. I saved more money switching the house insurance than the the mortgage increases were the other year. So I would look at the next few years and see what’s cheapest and not worry about the last few years.

Isa rate is close enough to that as an interest rate at this point. 

Valid point. A few years ago mortgage rates were so low and the stock market moving nicely. Sticking the money in a S&S ISA instead of overpaying the mortgage was a no brainer. Currently a cash ISA might make sense and interest rates are similar to mortgage rates. I'm still going for the S&S ISA approach but it might not be for everyone, depends on your attitude to risk and personal circumstances.

Yeah I think I'll be going for 5 years too. When my current five-deal expires in a couple of years, I will have about six years remaining (depending on how much more I can chip away with overpayments) and I'd rather have the peace of mind of knowing what I'll be paying until it's paid off (and also not have the hassle of more bloody applications.