Interest rates are on the rise, here are a few things you need to remember.
✋ Stay calm and do not panic
✋ After years of historically very low mortgage rates the rates are just back to where they were in the early 2000s
✋ Whilst your mortgage costs may increase, it won’t necessarily be by the same amount as in the more extreme examples featured on the news and in the press at present
If you have a mortgage deal that is ending soon and it looks like your payments are going to increase, there are a number of things to bear in mind:
✅ Cheaper products than those offered by your existing lender as replacements may be available elsewhere
✅ Paying off some of your mortgage via increased regular payments or a lump sum will reduce the amount of interest paid overall
✅ You may be able to restructure your existing mortgage (for example, by extending its term) in a way that reduces your monthly payments and makes them more manageable
It’s always a good idea to speak to your mortgage adviser for advice about your situation, especially if you are considering making changes to your mortgage arrangements.