Buy 10-year Mortgages To Overcome ECB, Experts Advise

Buy 10-year Mortgages To Overcome ECB, Experts Advise
Business
1

Fresh and existing borrowers are advised to buy 10-year fixed-rate mortgages as the European Central Bank (ECB) plans to increase interest rates by the end of 2019, said a mortgage expert.

Michael Dowling, head of the mortgage committee at the Irish Brokers’ Association, said he doesn’t find it logical in buying a 2- or 3-year fixed rates when those rates would expire just at the time ECB was likely raise interest rates. He said a number of lenders presently offer rates of about 2.9 percent fixed for 10 years for loan-to-value ratios close to 80 percent, and two lenders give a fixed rate of 3.5 percent for 10 years at a loan-to-value ratio of 90 percent.

“I’m saying that borrowers should envisage 10-year rates because they make good value and because there’s only one way that [ECB] rates can go,” he said. After an ECB meeting this week, analysts forecast that the central bank will increase its first interest rate , by the end of 2019.

Read also: Bitcoin Future Starts Trade, Sends Up $1,000

The ECB at a prominent meeting stuck to its recent pace of bond-buying, which has kept rates down at rock-bottom degree, but was planning to start turn the tap off its quantitative soothing programme next year, analysts said.

For many years there has been numerous opposition of Irish lenders who encourage fixed rates over very short terms of 2 or 3 years, whereas large number European and United States borrowers easily borrow at 10-year terms.

Central Bank figures which was published yesterday reveals that fixed-rate mortgages constitute 19 percent of the homes’ loans market here and have increased because borrowers are buying fixed rates loans of 1 to 3 years.

 

 

Credit: Irish Examiner

BITCOIN WARNING - Your Wallet May Be Emptied And Not Be Revoked, Here's How To Prevent It
Business
BITCOIN WARNING – Your Wallet May Be Emptied And Not Be Revoked, Here’s How To Prevent It

Bitcoin investors are being advised about the danger from hackers focusing on cryptocurrency exchanges Bitcoin prices never stops to fluctuate, with the value of the cryptocurrency falling since the time it hit a record high of above £14,000 last December. And as people continue to rush in to invest in …

Trump Has Been Lucky So Far With The Economy - Obama Treasury Secretary jack lew
Business
Trump Has Been Lucky So Far With The Economy – Obama Treasury Secretary

Ex Treasury Secretary Jack Lew stated that US President Trump has been benefiting from luck so far with the economy — and he advised that at times, luck runs out. In an interview at the Politico Money podcast, Lew said the global economy had incredibly endured the first year of …

Robots and Artificial Intelligence Will Replace Majority Of The Jobs In The Nearest Future
Business
1
Robots and Artificial Intelligence Will Replace Majority Of The Jobs In The Nearest Future

Future governments in Britain will require policies to regulate the threat of robots replacing half of the country’s jobs presently done by humans, a report has warned. Growth in robotic technology and artificial intelligence (AI) imply that in the next 10 to 20 years, 44 percent of jobs may be …

Share
Protected by Copyscape Relay Vibes - Blog Directory OnToplist.com top blog sites
top blog sites Blog Directory