Hi,
Just trying to get my head around something. Help appreciated.
We all know mortgage repayments get smaller in real terms towards the end of a mortgage. ie 1000 euro a month in 2013 will be a lot more of your wages than 1000 a month in say 2033.
Is there any way of calculating this? My current repayment is 750. What would it be equivelant to in say 10 years time? 720 euro? In 15 years 680? What assumptions are made, what conditions need to be met?
Obviously if we have deflation then all bets are off!
Any observations welcome.
Just trying to get my head around something. Help appreciated.
We all know mortgage repayments get smaller in real terms towards the end of a mortgage. ie 1000 euro a month in 2013 will be a lot more of your wages than 1000 a month in say 2033.
Is there any way of calculating this? My current repayment is 750. What would it be equivelant to in say 10 years time? 720 euro? In 15 years 680? What assumptions are made, what conditions need to be met?
Obviously if we have deflation then all bets are off!
Any observations welcome.