Household incomes could reduce by mortgage hikes
According to latest survey from IRISH Independent household income might get reduced upto €1.5bn due to mortgage hikes being imposed by the lenders and European Central Bank.The ECB yesterday left its current base rate at 1pc for the 15th month in a row, but it is likely to hike its rate next summer.
According to this survey from Irish Independent mortgage hikes reveals the double rate hikes already introduced by a number of lenders and three rate rises by Permanent TSB could take as much as €1.5bn out of the economy in a full year.Many banks and other building societies are now imposing cumulative rises of 1pc on variable mortgage holders.
But at the same time stats from the ECB show that variable interest rates across the eurozone have fallen to 2.55pc, down from 3.12pc last year.