Properties for sale
Real Estate Pietrasanta
A Pietrasanta, Tuscany town center of international art
Real Estate Del Lago
Luxury villa in the green countryside with swimming pool...
Galleria dei Maestri
A residential and commercial complex built by Baldini Group Holding SpA
This space can be yours
Promote in international market!
Houses and property for sale in the province of Lucca.
It 'time to buy?
The last cut in rates has come to end of February. The European Central Bank has reduced the rate of interest for the best institutions at 1, 5%. Complice the decline in house prices, after a decade of growth, is a legitimate question: who has the savings would do well to invest and buy the house or is it better to wait? And, in case of purchase, it is time to choose a fixed rate mortgage or variable?
Rates are at historical lows
Clear that the final answers on the timing can be chosen to give only a posteriori, after having completed all the payments, but something can be done now. Compared to the past, we live a time that can be historic in terms of rates. Since the establishment of Frankfurt had never lowered to this level interest. Last October, when the crisis was already present, it is claimed to 4.25%, ie three times the current values.
The prices of property in Lucca
Unfortunately, today those who go to the bank will not offer a loan of 1, 5%, but higher. The benchmarks are the Euribor (for variables) and the Irs (for fixed), ie the rates at which banks will exchange money to each other, some of which are decimal places higher than the rate Journal prepared by the ECB. From these figures, then apply a spread (usually between 0.6% and 1, 5%) which is their gain. For several months, some banks have begun to propose rates linked to the ECB rate, but with more spread, so the result remains almost unchanged. We must consider that the housing market began a downward trend.
Fixed or variable rate
Who decided that it's time to invest and do not have enough savings for the cash, is facing eternity choice: best mortgage rate fixed or variable? Now you can get a mortgage at a variable rate of between 2.8 and 3% and a fixed between 5.3 and 5.7%. Than in previous years, the gap in recent months has expanded and this is an explanation of the market. With interest rates so low, the fixed rate may be a guarantee: who chooses, make sure to pay the same sum for the duration of the contract. Even if, as likely, there will be rising once again the calm in the markets. Those who choose instead the variable rate mortgage interest payments low as never before, but with the risk of increases in future years.
