archyworldys

After the SNB hike, mortgage rates jump

Mortgage rates in Switzerland have taken the lift in recent days, driven by the surprise hike in the main interest rate of the Swiss National Bank (SNB) last week and by inflation, to return to a level not seen since July 2011.

The average five-year mortgage rate compiled by Moneyland rose from 1.01% at the start of the year to 2.57% on June 20, the operator of the specialized brokerage platform said on Tuesday. That of receivables out of ten was also multiplied by more than two to 2.99%.

Other tallies show even higher numbers. According to the weekly statement carried out by the consulting firm VZ and published this Tuesday morning, a 5-year fixed rate mortgage was trading with banks at 2.689%. Last week, before the SNB’s decision, the rate was still at 2.436%.

An inevitable rise

With the SNB key rate at -0.25% still in negative territory, the impact of the hike on mortgages linked to the Saron rate remains limited. The interest rate for these receivables is made up of the Saron reference interest rate, plus a margin. As long as the Saron remains in the negative zone, the rate of the related mortgages consists only of the said margin.

Moneyland experts expect the necessary fight against inflation to lead mortgage rates to continue their sharp rise.

Our recent articles

Read also  Btc credit PayPal Visa or Credit >>> on >>> 0.001 (BTC).

Trending