I am with EBS and am concerned as everyone else is about increasing rates. I was on a fixed rate of 4.75% for 3 years which ended last november. I am currently on a variable of 2.63% costing me 840 a month. In May the rates will rise to 3.23% and my payments to 920 a month.
I enquired about fixing and unfortunately I missed the chance to fix at 4.05% as I was unsure and hesitant about what to do. The rates that I have been informed on are 4.7% for 3 years and 5.3% for 5 years.
If I took on the 4.7% rate my payments would rise to 1120/month. An increase of 280/month. I am unsure whether to go for the current rate as I am sure that they will rise again. I am in negative equity so switching is not an option.
As I see I can stay on the variable and take the hits when they come or fix it and forget about it? I know that I have to take affordability into it. I am just worried about missing a rate thats under 5% for fixing.
Anybody out there in the same boat and contemplating either way? Any advice comments would be greatly appreciated...
I enquired about fixing and unfortunately I missed the chance to fix at 4.05% as I was unsure and hesitant about what to do. The rates that I have been informed on are 4.7% for 3 years and 5.3% for 5 years.
If I took on the 4.7% rate my payments would rise to 1120/month. An increase of 280/month. I am unsure whether to go for the current rate as I am sure that they will rise again. I am in negative equity so switching is not an option.
As I see I can stay on the variable and take the hits when they come or fix it and forget about it? I know that I have to take affordability into it. I am just worried about missing a rate thats under 5% for fixing.
Anybody out there in the same boat and contemplating either way? Any advice comments would be greatly appreciated...