What are the pros and cons of remortgaging to a fixed-rate mortgage over a variable-rate mortgage?

Fixed-rate mortgages mean fixed repayments which makes for easy budgeting and certainty for a number of years ahead. However, they lack flexibility because an early repayment charge will apply if you redeem the mortgage before the end of the fixed rate period. A variable rate product offers flexibility as they will usually have low or no early repayment charges (ERCs) and you might benefit if the Bank of England Base Rate drops.

Category