The best fixed-rate mortgages
Fixed-rate mortgages are very popular, and it's easy to understand why. They provide you with certainty – you know that for the length of your fixed rate period, your repayments will remain exactly the same each month, no matter what the Bank of England does with the Base Rate.
However, knowing that you want to fix your mortgage rate is only half the decision. You need to work out how long you want to fix for too.
Two-year fixed-rate mortgages are the cheapest, but you only have certainty about your mortgage payments for a short period of time. If you want the added security of a five-year fixed rate, you'll pay a premium in the form of a higher interest rate. Long-term fixed rates also come with much higher Early Repayment Charges, so you might need to take that into account too.
Top two-year fixed-rate mortgages
First, let's look at the two-year fixed rate mortgages with the lowest rates around. Be warned, nabbing a tiny interest rate usually means you'll have a stump up a hefty product fee. As a perfect example of this, the Co-operative Bank has just launched the cheapest-ever initial rate on a two-year fixed rate mortgage, but with a fee of £1,499.
Lender | LTV | Interest rate | Mortgage fee |
Co-operative Bank | 60% | 1.09% | £1,499 |
75% | 1.44% | £1,545 | |
80% | 1.83% | £995 | |
The Co-operative Bank | 90% | 2.64% | £1,499 |
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As you can see, there are some mammoth fees there. But what if you don't want to stump up a significant product fee? These are the best mortgages with fees under £500.
Lender | LTV | Interest rate | Mortgage fee |
60% | 1.59% | £195 | |
75% | 1.64% | £345 | |
80% | 1.89% | £499 | |
90% | 3.09% | £195 |
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Three-year fixed rate mortgages
If you want certainty about your mortgage repayments for a little bit longer, a three-year fixed rate mortgage may be a better option. First, let's take a look at the deals with the smallest interest rates.
Lender | LTV | Interest rate | Mortgage fee |
60% | 1.75% | £1,995 | |
75% | 1.99% | £1,545 | |
80% | 2.24% | £1,845 | |
90% | 3.24% | £1,545 |
And now let's take a look at the best deals with a fee of under £500.
Lender | LTV | Interest rate | Mortgage fee |
60% | 2.09% | £195 | |
75% | 2.29% | £345 | |
80% | 2.56% | £199 | |
90% | 3.44% | £345 |
Five-year fixed rate mortgages
If you want to go for a longer-term fixed rate deal, then you may prefer a five-year fixed rate deal. While you enjoy that security for longer, you may have to pay a premium in terms of a higher rate. You also have significant Early Repayment Charges to consider should you wish to leave the deal early.
Lender | LTV | Interest rate | Mortgage fee |
HSBC | 60% | 1.99% | £1,499 |
75% | 2.49% | £995 | |
80% | 2.64% | £1,845 | |
90% | 3.59% | £995 |
And now let's take a look at the best deals with a fee of under £500.
Lender | LTV | Interest rate | Mortgage fee |
60% | 2.39% | £195 | |
75% | 2.59% | £195 | |
80% | 2.89% | £199 | |
90% | 3.89% | £195 |
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