Many homeowners are finding they have been caught short with their fixed rate mortgage deals. The most popular type of mortgage deal seems to be the 2 year fixed rate mortgage, however many people find themselves getting less than the 2 years they have signed up for.

Certain mortgage offers with a 2 year fixed rate have been offering a short sell by date. For example, a mortgage lender currently has a special deal offering a fixed rate mortgage until September 2009. This is in fact only a 23 month deal, leaving the customers having to remortgage or pay a higher interest rate a month earlier than they thought.

One particular mortgage company in question even has a two year fixed rate ending in august 2009, a shortfall of 2 months. Add to that approximately one month (about the time it takes to complete on a mortgage) then that is 3 months short. Many people are not thinking ahead about the exact end date when signing up to these mortgage offers - but they should be if this kind of practice is going on.

This oversight can be costly as the difference between a low, short-term fixed rate and the standard variable rate which it will switch to can be quite big, with the homeowner coughing up the extra. Not only that, but if home-owners are paying for re-mortgaging costs more frequently because they are not always getting the two year deal they thought they were, this too will add up to a big chunk of cash being wasted.

Not many lenders have genuine 2 year deals to offer, mainly because they cannot afford for it to remain open-ended indefinitley. Borrowers should be aware of this when looking for a new mortgage otherwise you could lose hundreds of pounds.

It is a common misconception that a 2 year fixed rate deal starts from the time it is taken out - it doesn't. I suppose the trick is to stay alert and check your dates thoroughly before signing into anything.

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