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Work out how much each costs over the period - the 3 year might be cheaper than the 2 year once you factor in the punchy fees
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Without knowing the mortgage amount it's hard to compare.
Personally I'd go 5. Chances are interest rates won't go up but there's always a slim chance. More importantly, things are pretty volatile at the moment so I'd want to put off remortgaging for 5 years.
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Definitely depends on the size of the mortgage. If it's a 600k mortgage then the 2yr is better than the 3. If it's a 250k mortgage then the 2yr is crap.
On a 250k mortgage then you'd be paying £980 a month once fees are spread over the 2yr initial.
The 3yr would be 934pm
5yr would be 952pmI think I'd go for the 3 and then remortgage again expecting rates to still be fairly low.
(Don't rely on my maths though, I only used an online calc - https://www.thisismoney.co.uk/money/mortgageshome/article-1633400/Mortgage-calculator-Compare-true-cost-rates-fees.html)
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Bainbridge
aggi
duncs
@SteadyCam
Can someone clever just tell me what type of mortgage to go for please.
We've been offered these for 28 year terms;
2 year fixed at 1.19%, £1,999 + £525
3 year fixed - 1.69%, no fees
5 year fixed - 1.70%, £999
I would say we're pretty risk averse so I guess we should stick to fixed?