If your five-year fixed mortgage deal is coming to an end, you might be wondering what to do next. Many homeowners who locked in a low fixed rate several years ago are now facing a different mortgage market, where rates have changed.

With 1.8 million people needing to remortgage this year, it is important to plan ahead. Speaking to a mortgage adviser can help you find the best option for your situation¹.

When your fixed-rate mortgage deal expires, your lender will usually move you onto their Standard Variable Rate (SVR). This is often much higher than your current rate and could increase your monthly repayments².

To avoid this, you can remortgage by switching to a new fixed or variable rate deal. A mortgage adviser can help you compare options and find a mortgage that suits your needs.

Some people are considering waiting to see if mortgage rates drop before fixing a new deal. However, this carries risks²:

• There is no guarantee that rates will fall – Mortgage rates are influenced by many factors, not just the Bank of England base rate.
• You may end up paying more – If you move onto your lender’s SVR while waiting, your monthly payments could be significantly higher.
• Lenders set their own rates – Even if interest rates fall, lenders may not pass on reductions in the way you expect.

A mortgage adviser can help you understand your options and decide whether it is better to fix now or wait.

Yes, many lenders allow you to lock in a mortgage rate up to six months before your current deal expires. This means:

• If rates go up, you have secured a lower deal in advance.
• If rates go down, you may be able to switch to a better deal before your new mortgage starts.
• You avoid moving onto a high SVR, helping you manage your monthly payments.

A mortgage adviser can check which lenders offer this option and help you secure the right deal at the right time.

A mortgage adviser can:

• Help you understand your options – Everyone’s situation is different, and an adviser can find a deal that works for you.
• Compare a wide range of lenders – Some mortgage deals are not available directly to customers.
• Save you time and effort – Searching for mortgages can be complicated, but an adviser will handle the process for you.
• Help you avoid unnecessary costs – The right remortgage deal can prevent you from paying more than necessary.

If your five-year fixed mortgage is ending soon, now is the time to start looking at your options. Waiting too long could cost you more, but securing the right deal could help you keep your repayments under control.

Take a proactive approach 

We can simplify the mortgage process for you and help secure you a great mortgage deal in the process. 

Contact the team on 01565 874 246
Email: hello@malloryfinancial.co.uk