Mortgages - did you fix yours 2 years ago?

[Rupert Breheny]

I'm having a "discussion" with my mortgage broker just now, as we swapped mortgage providers when we did our final purchase, and got a better rate. Did everyone sign a confirmed mortgage contract 2 years ago and then stuck with the same bank, or did you get a promissory note (I think a rahmenvertrag) which game the flexibility to chooses a different provider later?

Basically put, was your first mortgage framework agreement binding, or could you change it later if you had wanted to?

[Lennart Meier]

I signed a Kreditrahmenvertrag, with no rates specified (only the
building and the amount) and with full freedom to scrap it if I don't
need it.

This being said, what is relevant for you is what you signed, so I'd
suggest scrutinizing your contract.

Good luck,

L.

--
http://www.l2rm.net/

[Marc Derron]

Hi Rupert

We fixed our rates last december  and I think it was the best moment, as rates seem to be rising slowly. Two years ago we received a letter from our financing bank (Zürcher Kantonalbank) saying that they would be financing us, but this was not binding.

But we did all our negotiations by ourselves without a broker.

Have a nice evening

Marc

[Rupert Breheny]

Thanks Mark,

We really do seem to have tied ourselves to the people that gave us
the first quote 2.5 years ago. I think the broker just wanted to pin
us to the spot. I met the bank last week and they told me that all
banks would have to have given a final mortgage at the point of their
issuing a financing letter - and yet I can find nobody who is in the
same situation. Go figure …

Thanks for the additional info.