Are you considering options to lower your monthly mortgage payment? Fixing the interest rate may be a solution. Let's see in this article what it means to fix the mortgage rate, how to do it, and what the impact is.
The interest rate you choose for your home loan has a direct impact on the amount you will pay for the monthly installment. You can choose between a fixed, variable, or mixed rate. But what does each concept mean, how does it work, and how does it impact the loan?
Are you going to apply for a mortgage to buy your home? Know that, throughout the process, you may come across expressions that can be confusing. We have prepared a glossary about mortgage credit to help you know everything.
The fees associated with home loans depend mainly on the chosen interest rate type. Therefore, let's see what types of rates exist, the impact of each, and where you can analyze the cost of interest in the credit proposal.
At the annual meetings of the International Monetary Fund (IMF) and the World Bank in Marrakech, Morocco, the chief economist predicted the continuation of high interest rates, which could "push the poorest countries into bankruptcy". But what to do in the face of the continuous rise in interest rates, if you have a home loan?
Based on a news article released by Notícias ao Minuto, João Pedro Oliveira e Costa, president of BPI (partner bank of Poupança no Minuto), believes that only families in difficulty should join the fixed monthly installment regime for housing credit - a government support measure. Let's see why.
One of the measures taken by the Government to support Portuguese families with their home loans involves freezing the monthly installment at a fixed value for two years. However, the differential amount will have to be repaid...with interest, as warned by the Bank of Portugal.
The Euribor rates have risen again in October, which will now be reflected in the monthly installments of Portuguese home loans. See how much it can increase and learn a way to avoid the hike.
Interest rates are expected to remain at the high levels they are now until inflation drops to the desired target of 2% - says Jerome Powell, chairman of the Federal Reserve. Find out what to do to avoid the impact.
The mixed rate has been an interest regime that the Portuguese have very much adhered to when contracting a housing loan, as now confirmed by the Bank of Portugal. Find out why in this article.
Do you want to fix the installment of your mortgage with the government measure? Your bank may request additional data before sending you the plan. Find out what it is, and if there is another way to fix your installment, then.
The issue arises within the scope of the legislation of the new Government measure to support the Portuguese with their home loans, fixing and lowering the monthly amounts. Find out if you have already been or are currently under the PARI program with your mortgage, you can join the support in question.
At an event in Berlin, the President of the European Central Bank (ECB) had the opportunity to speak about the current state of interest rates. Stating that "it is not yet time to proclaim victory," she explains that we are now in a phase of unchanging rates, in order to give "some time to see its effect on the economy".
According to Eurobarometer, 83% of the Portuguese respondents believe that their standard of living will worsen by 2024. So, how can one protect themselves from this prediction if they have insurance and loans?
For those who have contracted the three-month Euribor on their variable rate mortgage, in December and January they will begin to feel a slight reduction in the monthly installment they pay. This is because interest rates have already reached the maximum limit. Understand better when each term begins to impact the house payment.