Can you afford your mortgage at 6%? If not, what will you do?

[Redpathos]

I have a mortgage fixed at 1.04% ending end of next year. At 6%, it will add around £600 to my monthly payment. 😥i dont think i will have to sell or downsize, provided rises in other cost of living calm down a little.
Affordability is supposed to have been stress tested at multiple times of the rate applied, but i guess nobody predicts that food, fuel, energy are all rising at the same time.

It's so difficult to predict isn't it? All things being equal, then yes, we'll be able to afford it at 10%. But I can't guarantee neither myself nor my partner will still have a job, what energy prices will be, food, petrol and so on.

I did think if the shit hit the fan I'd be able to cash in some of my pensions but who knows what they'll be worth in 2-3 years time? I try and just save what I can but still leave enough to enjoy the moment. I've spent the last 2-3 years worrying about everything going on in the world but me worrying hasn't really benefited any of us.

We are fixed for the next 6 years. We took a 10 year fix when we moved knowing that by the end of that time most of the children would have finished school.

After that - We ensured we could just about afford at 10% . But we are also overpaying in the meantime and of course would hope to have salary rises in that time

I feel for people affected by the sudden hike, it will have really ambushed a lot of people.

Current house yes, because we’re still in our ‘starter’ flat and we’ve had pay rises since we bought.

However, we now can’t afford the next house on the ladder at 6%. We have to move at some point in the next few years so not sure what we will do.

I'm paying off 10% per year
And saving everything I can to pay a lump sum off when the fix is up in 2024

Things might be different by then.

Although I think the banks are trying their best to keep the rates down. As they don't want a glut of repossessed houses and falling house prices.

I had to sell up and downsize. Could have just about afforded it but no give in the budget. And didn't trust Government not to mess the economy up further.