Basically I need help!!
My 1 year tracker of 2.5% variable is coming to an end and my mortgage company (ICS) has sent me a list what I can do now. I can continue on a variable tracker ECB + 1.25% (don't really understand what that means) at a rate of 3.75% which increases my payments by about €80 per month or I can lock in for 1, 2, 3, 5 or 10 years at rates between 4.29% and 4.99% (4.29% increases my payments by €120, 4.99% by €180). Annual gross income is roughly €60K, mortgage is €160k. Would I be better off ignoring these options, re-mortgage elsewhere to lock in at a lower rate for 12 months? I know that interest rates are on the increase, can anyone suggest what would be the best course of action for me?
My 1 year tracker of 2.5% variable is coming to an end and my mortgage company (ICS) has sent me a list what I can do now. I can continue on a variable tracker ECB + 1.25% (don't really understand what that means) at a rate of 3.75% which increases my payments by about €80 per month or I can lock in for 1, 2, 3, 5 or 10 years at rates between 4.29% and 4.99% (4.29% increases my payments by €120, 4.99% by €180). Annual gross income is roughly €60K, mortgage is €160k. Would I be better off ignoring these options, re-mortgage elsewhere to lock in at a lower rate for 12 months? I know that interest rates are on the increase, can anyone suggest what would be the best course of action for me?