Anyone care to speculate on the mortgage situation next summer? I'm losing my mind with worry

[blhchristina]

@anotherklutz I'm in similar position to you.

Mortgage due for renewal in November next year.

Started on a 95% mortgage, due to house price rises round my way I'm down to 73% LTV though, I have a 2% exit fee.

I've decided I'm going to just hang it out till then. Maybe lock something in mid year if rates are still looking to rise, otherwise maybe sit tight, and even think about a tracker if it's going to have a potential of coming down shortly after rather than fix at a higher rate.

 

[deedee79]

@anotherklutz Looking at your numbers you had at £142,500 mortgage over 40 years?

And your maximum budget is £1,500/m

To reach £1,500/m on £132k over 35 years (bank) interest rates would need to be 13.5%

This is way higher than anyone is seriously predicting.

 

[anotherklutz]

@deedee79 Yeah that's correct. Thanks - it's just the 16% that horrified me when I saw it

 

[wabj68]

@anotherklutz Its a hard position. We've around 50k left end of our deal and LTV is around 20% I fixed it for 10 years back in 2016, I saw something coming but I was happy to pay a touch more. Our deal is up 2027 I am just hoping things level out.

Personally, I can't see change anywhere UNTIL the war in Ukraine has some sort of conclusion. There is market uncertainty until that point, if anything the position can currently only get worse. I.e military escalation, full switch off of gas, natural weather events causing further disruption to food supply all resulting in continued inflation.

The UK government sped things up, rate rises were inevitable, but Kwateng and Truss lunacy made it happen sooner, it now down to alot of decisions they take as to the trajectory of that interest rate.

Try and keep talking, it the best place for your brain to keep letting this out somewhere. Happy to talk if you need an ear.