How much is your mortgage increasingly by because of days interest rate rise

[Birthdaygirltoday33]

With inflation, council tax, bills and everything else...it feels never ending😔

@Crikeyalmighty, not everyone is out to screw over renters, I was one for a long time myself. I don't have a mortgage on my rental so I don't ever put the rent up with a sitting tenant. It's better to have good people who are reliable than price them out of their home.

I had both good and bad landlords in the 12 years I rented.

£500 a month more here, it’s painful!
@Crikeyalmighty - don’t know anyone that would tell renters that. Most people I know think people who rent can be treated appallingly

I was on a 5 year fixed which ended a few months ago at the worst possible time so am now paying £250 a month more

? I don't understand. When I renew it in a couple of months will it make the term longer?

We are fixed until July 2024 thankfully but I'm already dreading it!

I'm on a 0.5 above tracker for part of my mortgage but there's only 16k left on it and considering the rate was 5.75 when I took it out, it's been a good deal overall.

I fixed the other part for 10 years (3 years ago) so was hedging my bets.

It's not a big monthly increase and I like the flexibility of the product as I can overpay what I like

Our fix runs out in August. Our mortgage is £500k, we're currently on a 2.5% rate and I don't know what the best thing to do is......

We can secure a new deal to transfer onto in August or we can wait until we get to June/July and see if the rates are any better. Or we can wait longer and go on to SVR and see if better deals come up later in the year.

Currently rates are about 4.5% on new deals but it can change daily.

I'm a bit lost knowing what the best thing to do is to be honest.

@Luckyluv secure a new deal with your current provider but it won’t execute until august. Triple check but most you can cancel with no penalty.

Then come July see what’s better, the deal from today (march) or a deal in July. Atleast then you have options.

That’s odd as the two calculators I used are showing the original figures. Can you link your way of calculating? @Blossomtoes

That's probably a good idea.

One thing though is that we have quite a large amount of money to put into the mortgage - about £70k - if we try and put it in now we'll be charged £6k for making an overpayment. We were thinking of paying it in when the mortgage runs out, I don't know how that works if we take out a new deal now.

Also, the money is locked in an investment that we can't take out until June.

Feels like we stand to lose circa £15k in penalties.

We could just make small annual overpayments under the threshold but that won't help us keep the cost of our mortgage repayments down which we were hoping this money would do, if we can get it invested into the property and viewed as equity between switching, I.e decreasing out LVT as part of a new deal.

£300 more a month and set to go up yet again.

We’re fixed for 25 years at 1.5%. European country. We had friends who looked at us a like we had two heads when we fixed as the variable tracker was at .9%. They are now struggling to make their mortgage payments.

I can't afford mine anymore but I can't do anything about it until divorce and finances are finalised, as it's joint with ex.

I am on a tracker - over the last 20 years or so it's been consistently cheaper than any fix available (taken as a whole). I benefited massively from low rates so now have to take a hit.

Ours has gone up by £30 a month as we have renewed our fixed rate.

I am applying for a mortgage this week after having an offer accepted on a house and frankly I am starting to rethink everything...

The house is at the top of my budget and I was already wondering if the lender would agree the mortgage, although I had an agreement in principle and a big deposit.

Now with the interest hike and council tax due to shoot up. I am starting to be worries about affordability.

It likely that the mortgage will be refused or they will lend me less on affordability grounds...

Frankly I am so tired of everything, but wages, going up all the time.

This .

I haven't put my tenants rent up in 6yrs . I should do because it's half the market rate but she isn't wealthy and she is a good tenant.

Non-UK MNers: 30 year fixes are unheard of in the UK. I would say the average fix is 3 years; 10 years is rare and much more expensive. 5 and 7 are in the middle.

In our case it's £0, I guess we're maybe 75% just lucky and I'm 25% glad I put my foot down every time we got to the end of a fix. Our IFA was always telling us to go for shorter, cheaper fixes and I was always like 'the BoE rates are at historic lows: it's not a question of whether they will rise but when, and by how much'. So we fixed for seven years, two years ago, at a rate which is now substantially below the BoE base rate. I bet the mortgage company can't wait to get rid of us.

MNers who've been hard hit by rate increases:💐. There but for the grace of God go we.

I really don't want to come over as smug, I don't mean to gloat at all, just telling our story. This time we got lucky, and I really feel for others for whom the timing wasn't so good, and for renters who have absolutely no control over any of this.

[You'll be pleased to hear I expunged a Brexit rant from the end of this post!]

I agree, this is a smug answer. Lucky you that you were in a position to do that. Many people, especailly those taking our mortgages in recent months won't have had the same opportunity.

In many ways its down to alot of luck for when your "cycle" ends.

Ours has gone up by £250 per month, but our fixed rates ended in the last few months so secured the rates back end of last year. In some ways Lucky as gone from 1% or less to 3%

Nothing as we fixed for the remaining 5 year term on mortgage when me moved 18 months ago - can’t wait til I’m 55 and can go part time or retire when it’s paid off

@Tellyaddict123

And do you realise that the average females full time salary in 1990 was £9500pa. (Equivalent of £21750 pa now).

You're not comparing apples with apples.

Ours ends in June. Our new offer is going from 2.3% to 4.2%. So monthly about £300 a month more.

We're keeping an eye and should rates drop below 4.2% we'll change it but for now our provisional offer is manageable, but not ideal with everything else going up.

We fixed it at 1.5% eight months ago, for five years. I could smell the change in the air and really pushed dh to go with the longer period. My first flat in the 80s was 16%.

Really helpful. Need to show this to MIL who bemoans the days of 12% mortgages