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Nationwide fixed deal coming to an end... What Next??

Nationwide Fixed deal about to end. If I do nothing I go onto the BMR with a cap of 2% above base. If I choose another product, that will revert to SMR which has no cap. LTV of about 37% I'm tempted to just let it expire and go onto the BMR, saving myself about £100 each month. Risk is that base rates will only go one way from here on in... What would you do? Revert to the BMR with the 2% CAP (effectively a tracker) or go fixed again and drop back to the SMR after 2-4 years???


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at that LTV as long as you have a good to excellent credit rating you can have whatever mortgage you want!! avoid a tracker is my advice... personally, if it were me, i would wait for a while to see how the interest rate levels settle particularly on fixed rate products.. alternatively find a tracker with a cap

Thanks.. The BMR is a variable rate with Base +2% Cap. It basically is a tracker with a cap in that regard.

You have a very good tracker. The rate may go up above what you would pay on a fixed rate at the moment but not by that much. The gains that you would make now would more than compensate for the later higher rates. After some time rates will come down again. Not as far as current levels I assume but to somewhere in between. Se what you would pay under a fixed rate mortgage and pay the excess over the reversionary rate off the mortgage. That way,when the rates rise, you will have less to be charged interest on. Mike