5 Year Fixed Rate Mortgages
Fixed Rate Mortgage Service - Get a better deal
Special features of what we offer include:
- Whole of market service - we work with over 60 UK lenders
- Great Rates! - Access to leading market mortgage rates including 5 year fixed rates
- Access to exclusive loan deals not available on high street
- Fast turnaround - speak to us today if you need to move quickly
- We have lenders who will take into account previous defaults and missed payments
- Looking to raise additional finance on top of your existing mortgage or buy to let mortgage? - we have access to a range of finance solutions
To investigate your mortgage options contact our mortgage team.
5 year fixed rate mortgages
A 5 year fixed rate mortgage has an interest rate that is set at a defined level for a 5 year term. This gives you the security of knowing exactly how much you’ll have to repay on your mortgage each month, for the duration of the secure your rate to give you fixed monthly repayments.
When the 5 year discounted period ends, make sure you can afford any increase in monthly repayments that may kick in as your mortgage switches to your lender’s Standard Variable Rate (SVR).
Advantages of fixed rate mortgages
There are several reasons why you might consider choosing a fixed rate mortgage. These include:
Security - A 5 year fixed-rate gives you peace of mind because you know exactly how much you'll pay for your monthly mortgage repayments. You know that, during the initial 5 year fixed period, your monthly mortgage repayments won't rise, even if the Bank of England Base Rate does.
Budgeting is straightforward – Knowing that your repayments are fixed for a 5 year term can be useful when it comes to planning your finances. You can budget for other household costs more easily, without the worry that your mortgage repayments will suddenly skyrocket.
Easy to understand – If you are new to home ownership, a fixed-rate mortgage is an easy concept to understand as it is based on a stable monthly repayment, like a standard bank loan of the type you may have taken out previously.
Disadvantages of fixed rate mortgages
A fixed rate mortgage may not always be the best option for you, depending on your circumstances. Therefore, it’s worth considering the following points before you lock yourself into a fixed rate mortgage deal:
Potential for higher rates – Interest rates on fixed rate deals can sometimes be higher than those offered on variable or tracker mortgages.
Potentially losing out if interest rates fall - You may miss out on a more competitive interest rate if the lender's SVR drops to less than the fixed rate. Additionally, you won't benefit from any cuts to the Bank of England Base Rate.
Penalty charges if you repay early – Most mortgage providers will charge you a penalty - known as an Early Repayment Charge (ERC) - if you want to move to a different mortgage deal before the end of the fixed term. For example, if you take out a fixed rate mortgage, repaying the loan early could involve a percentage of the loan amount being charged as a fee, on top of the amount you owe.
Arrangement fees as an additional cost - In certain circumstances you may have to pay arrangement fees to set up a fixed rate mortgage.
To compare top 5 year fixed rate mortgage deals and find the best mortgage offer for you, use the mortgage calculator to search over 5,000 mortgages based on your personal circumstances.