Libor Tracker Mortgage

munkiemunkie81

Can anyone help explain to me in laymans terms what this is and how it works? I'm not sure I was fully focused when FA was going through it all with us!

Had mortgage for about 3 years, was a fixed discount for two and then tracks Libor ever since I think. I know this has been a good thing of late because our mortgage payments have dropped by about £300-400 a month.

Is there likely to be any serious/sharp hikes coming - have seperated from husband and the house needs to go - would it be wise to get it done asap to avoid any upcoming hikes?

Have only just had a new - reduced again - payment notice for the next 3 months so I know i can manage through that but i'm not in a position to be able to afford any big hikes looming.

We dont have any trouble with negative equity so thats not a factor, just ideally dont want to sell right this minute!

Wutang_2

check out Inspector Monkfish's Libor thread - he might not be any good at fantasy football but he will give you an insight into the libor rate and where it may/may not be heading....

Wutang_2

http://forums.moneysavingexpert.com/showthread.html?t=1602429

(its about 5 million pages long but worth a look)

inspector_monkfish

Wutang wrote: »

check out Inspector Monkfish's Libor thread - he might not be any good at fantasy football but he will give you an insight into the libor rate and where it may/may not be heading....

its a marathon not a sprint, and i have you firmly in my sites.....

inspector_monkfish

munkiemunkie81 wrote: »

Can anyone help explain to me in laymans terms what this is and how it works? I'm not sure I was fully focused when FA was going through it all with us!

Had mortgage for about 3 years, was a fixed discount for two and then tracks Libor ever since I think. I know this has been a good thing of late because our mortgage payments have dropped by about £300-400 a month.

Is there likely to be any serious/sharp hikes coming - have seperated from husband and the house needs to go - would it be wise to get it done asap to avoid any upcoming hikes?

Have only just had a new - reduced again - payment notice for the next 3 months so I know i can manage through that but i'm not in a position to be able to afford any big hikes looming.

We dont have any trouble with negative equity so thats not a factor, just ideally dont want to sell right this minute!

No big hikes looming.
Fact.

Rest easy.

munkiemunkie81

Thank you!