How much could your mortgage go up?
This table gives a rough idea of how much extra you might pay each month if your mortgage rate rises by 1 or 2 percentage points.
It can be useful if you are:
🏠 Coming off a fixed-rate deal and want a rough idea of what a higher remortgage rate could do to your monthly payment
or
📈 On a tracker mortgage and wondering how much your payment could rise if the Bank of England increases interest rates and your lender passes that on.
A useful rule of thumb from the table is:
For every £100,000 of mortgage, a 1 percentage point rise adds roughly £58 a month. A 2 percentage point rise adds roughly £119 a month.
So, for example:
* a £200,000 mortgage could rise by about £117 a month if your rate rose by 1%
* the same mortgage could rise by about £239 a month if your rate rose by 2%
Assumptions used in the table:
* repayment mortgage
* 25 years remaining
* 1% rise = 4.5% to 5.5%
* 2% rise = 4.5% to 6.5%
* figures rounded to the nearest pound
*
Your actual increase will depend on your current rate, new rate, mortgage balance and remaining term, so this is an illustration, not a quote.
And just to be clear, a 1% rate rise here means one percentage point — for example 4.5% to 5.5%, not 4.5% to 4.55%.
For a more personal calculation CLICK THE LINK IN BIO. to use my intrerest rates rise calculator
#mortgage #remortgage #interestrates #personalfinance #ukmoney
This table gives a rough idea of how much extra you might pay each month if your mortgage rate rises by 1 or 2 percentage points.
It can be useful if you are:
🏠 Coming off a fixed-rate deal and want a rough idea of what a higher remortgage rate could do to your monthly payment
or
📈 On a tracker mortgage and wondering how much your payment could rise if the Bank of England increases interest rates and your lender passes that on.
A useful rule of thumb from the table is:
For every £100,000 of mortgage, a 1 percentage point rise adds roughly £58 a month. A 2 percentage point rise adds roughly £119 a month.
So, for example:
* a £200,000 mortgage could rise by about £117 a month if your rate rose by 1%
* the same mortgage could rise by about £239 a month if your rate rose by 2%
Assumptions used in the table:
* repayment mortgage
* 25 years remaining
* 1% rise = 4.5% to 5.5%
* 2% rise = 4.5% to 6.5%
* figures rounded to the nearest pound
*
Your actual increase will depend on your current rate, new rate, mortgage balance and remaining term, so this is an illustration, not a quote.
And just to be clear, a 1% rate rise here means one percentage point — for example 4.5% to 5.5%, not 4.5% to 4.55%.
For a more personal calculation CLICK THE LINK IN BIO. to use my intrerest rates rise calculator
#mortgage #remortgage #interestrates #personalfinance #ukmoney
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