mortgage interest rates to rise - but when?

[cobblerusa]

Hi,
I've just been reading the other posts about whether or not to fix. I'm in the same boat. By going to the variable rate I save €200/month (I'm with a bank who already has high interest rates). If I do not re-fix in 10 days then I have to pay a free of €125 if I do fix in the future. Every time I read the paper, listen to the radio, etc I keep hearing the rates are going up - by a lot. The 'experts' keep saying to fix now but the economy is failing even more. I feel stuck between common sense (and fear of the bank raising the interest rates unexpectedly like one bank did a few weeks ago) and the experts. Thanks

 

[frash]

From your username I think you may be a US resident (Apologies if your not). This site is an Irish site and as such most advice is given with knowledge of Irish finance as oppose to globally.

The OP is using the € symbol

 

[irishlinks]

Too late if you were looking at AIB - they put rates up tomorrow

 

[cobblerusa]

Hi,
I have dual citizenship and have been in Ireland since 1992 and bought 3 years ago. Thanks for noticing though. I just heard about AIB and the rate increase. Perm TSB did the same in Feb.

 

[elcato]

I think at this stage it looks like all the banks will rise. The thing is though whether paying about .5% to 1% more on fixed rates is worth it I guess. Your options are limited now and I'd say that a 5 year fixed would be at least 1% more. Up to you for piece of mind.