Fixed or Variable Mortgage in Reigate? Compare Your Options
Fixed vs Variable Mortgages in Reigate: What’s the Best Option Right Now?
With interest rates still a hot topic and the housing market in Reigate remaining competitive, many first-time buyers — and even seasoned homeowners — are wondering: should I choose a fixed or variable mortgage? The answer depends on your financial goals, risk tolerance, and how long you plan to stay in your property. Let’s look at what’s happening right now in the market and what you need to consider locally in Reigate.
A fixed-rate mortgage means your monthly repayments stay the same for a set period — usually 2, 5, or 10 years. This makes budgeting easier, and many buyers like the stability, especially in uncertain times. If interest rates rise, you’re protected. However, you may pay a slightly higher rate for that certainty, and exiting the deal early can come with penalties.
On the other hand, a variable-rate mortgage (also called tracker or discount mortgages) changes as interest rates change. You could benefit from lower repayments if the base rate drops — but your monthly payments might rise if rates go up. Some buyers feel comfortable with this flexibility, especially if they expect to remortgage or move within a short time.
In Reigate and nearby areas like Redhill and Horley, we’ve seen a mix of both being chosen. For buyers with stable income and long-term plans, fixed deals are often the safer bet. But if you’re buying a smaller property with plans to upsize soon, a shorter-term tracker mortgage may be more cost-effective — especially if rates are forecast to drop.
Another important factor is lender policy. Some lenders are offering attractive fixed deals with added incentives (like cashback or free legal work), while others are tightening their criteria for variable deals. That’s where a local mortgage advisor can help you access products not visible on comparison sites and explain the fine print.
There’s no one-size-fits-all answer. It depends on your appetite for risk, your future plans, and how much peace of mind you value. The best way to find out which option suits you? Sit down with a mortgage broker who understands the Reigate property market and has access to the full spectrum of deals.
📞 Speak to Zita today for expert mortgage advice tailored to your goals and budget.