Average interest rate mortgage.
The mortgage rates have been fairly stable for a number of years and it is expected that this will not change for the time being. There is a small difference between a short-term mortgage and a long-term mortgage. The interest rate on a short-term mortgage (fixed for 5 years) is now (2014) on average around 4% and the interest on a long-term mortgage (fixed for 10 years) around 5%. With a variable interest rate, the mortgage interest rate is the lowest. Then this is only 2.89% (2014). Variable means that the interest is not fixed. So you don’t know where you stand. Now the interest rate can be 2.89%, but maybe it will be twice as high in six months.
Variable interest rates sometimes include snags. There are banks that casually pass on costs for adjusting interest rates or implement increases immediately and postpone reductions for a month. With a variable interest rate, check every month whether you do not pay too much. If you don’t feel like it, you better opt for security and therefore for a fixed-rate period.
How high are the mortgages on average?
- People up to 25 years old have an average mortgage of around € 175,000.
- For people between 25 and 45 years old, the average mortgages are slightly higher, namely around € 200,000.
- The children usually leave the house between the ages of 45 and 65. Life becomes less expensive and the extras are often used for extra repayment of the mortgage. The mortgage debt in this life category is around € 150,000.
- People aged 65 and over often have a low mortgage burden. The mortgage has been paid off for many people. Their mortgage burden is on average around € 75,000.
It is always wise to take out a mortgage advisor when taking out or renewing the mortgage. In the past, this mortgage advisor was paid out of commission fees. Nowadays, a mortgage advisor is no longer allowed to work on a commission basis, but is paid directly by yourself for his advice. This is to guarantee its independent and best advice for your specific situation.