Mortgage rates were cut for the fifth consecutive week. In particular, rates for those who want to fix mortgage interest for a long time have fallen relatively quickly.
Reductions are nice for homebuyers. Interest rates have risen since the beginning of the year: from 1 to 2 percent in January to 4 to 5 percent at the end of October. Interest rates only fell slightly in the summer months.
Rates have been declining again for about a month, according to an overview by Van Bruggen Adviesgroep. For example, an average mortgage interest rate of 4.32% applies to those who want to fix their rate for ten years with an NHG guarantee. This is 0.07 percentage points lower than a week earlier and 0.22 percentage points lower than at the end of October. It has also become much cheaper to fix the mortgage interest for twenty or thirty years. That was a decrease of 0.08 percentage points in one week.
Van Bruggen expects further reductions. “In the current market conditions, it is very difficult to predict how fixed mortgage rates will develop in the coming months. But for the coming week, it seems very likely that the downward trend will continue.”
The variable interest rate will increase. In the last five weeks, for example, it has increased by a whopping 0.5 percentage points. This is because the variable mortgage interest rate is strongly correlated with the interest rate policy of the European Central Bank (ECB).
The latter has increased its interest rates several times in recent months and a hike is expected to be added this month. As a result, the variable mortgage interest rate also soars.
