Should i remortgage?

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    Should i remortgage?

    About to complete on a btl remortgage (currently on a resi tracker with extra interest charged due to it being tenanted). Difference in interest rate of around 0.7% and fixed for 5 years plus i get to release quite a bit of equity.

    Trouble is i am not so sure what to do with the funds (was thinking of buying more properties outside SE). And i am on a tracker currently and i think BOE likely to lower rates soon. So am thinking it may be worthwhile staying on a resi to keep my options open. I am worried about an impending recession and rates turning even lower or even negative. I got a 5 year fixed deal at 2% so would look like a right muppet if rates do go lower and we end up in a recession.

    I got a whilst before the mortgage offer expires and I do not need the equity release. Gross yield is 3.6-3.8% (yes London).

    What would you do?

    #2
    A recession is only an issue if you plan to sell while it's happening.
    Anyone who bought a property before 2008 who still owns it hasn't suffered during that period of lower property prices.

    I've remortgaged everything with a five year fixed deal - I can't see rates going down (although, as it happened if I'd waited until today I could have got a marginally cheaper deal) and I can see them going up over 5 years.

    There's no point increasing your debt for no reason.
    Although holidays, cars, eating out and tech can be fun to buy.
    When I post, I am expressing an opinion - feel free to disagree, I have been wrong before.
    Please don't act on my suggestions without checking with a grown-up (ideally some kind of expert).

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