2 year fixed mortgages

• you’ll always know exactly what you need to pay every month for the 2 year fixed term

• your payments will not increase if interest rates go up during your fixed period

• a 2 year fix is a good option if you plan to move house or remortgage in 2 years

• 2 year fixes are usually cheaper than longer fixed mortgages

• you will not benefit from interest rate cuts during your fixed period

• fixed rate deals can often have early repayment charges (ERCs)

• you could end up paying more over the fixed period than if you chose a variable rate mortgage and if interest rates are low

• 2 years is still a relatively short term, so if you opt to remortgage after the 2 years, you may have to pay more fees

The best 2 year fixed rates will have lower interest rates. But these lower interest rates are usually only on offer to those who put down a larger deposit.

If you put down at least a 20% deposit, you’ll be able to access a wider choice of deals with better rates.

You should always consider the fees when looking for the best 2 year fixed rate deal.

Mortgages can have lots of different fees and charges. 

Look out for a setup fee or arrangement fee, which can be up to £2,000. It's often around £1,000.

You may have to pay an early repayment charge if you remortgage or move house during the 2 year fixed term.

If you remortgage every 2 years these fees can add up.