All articles tagged with #mortgage payments
Bilt is launching three new credit cards and a rewards currency, allowing both renters and mortgage holders to earn points on payments. Mortgage payments will start earning points on Feb. 7, expanding an already popular rent-rewards model into a more complex, broader rewards system.
Bilt 2.0 launches three cards—Blue (no annual fee), Obsidian (mid-tier), and Palladium (premium)—with fee-free rent/mortgage payments via a new Bilt Cash system. Palladium adds 2x points on everyday purchases and 1x on housing, plus a $400 hotel credit, Gold status, and big welcome bonuses (50k points and $300 Bilt Cash). All three offer 4% Bilt Cash on non-housing purchases and a first-five-days promo (5x up to 50k points). The goal is to maximize housing-related rewards while offering varying everyday perks; whether it’s worth it depends on your spending mix.
The Bank of England has revised its prediction of struggling mortgage holders, suggesting that fewer households will struggle to make mortgage payments than previously expected. However, the bank's analysis also reveals a "payment shock" for some borrowers, with nearly 900,000 expected to see their mortgage payments increase by over £500 per month due to higher interest rates. The bank estimates that five million mortgage accounts have already been re-priced since December 2021, and another five million will see their payments rise by 2026. On the other hand, the Financial Conduct Authority (FCA) reports signs of more competitive interest rates for cash savers, with some easy-access savings products offering interest rates of 5% or more. However, the FCA encourages customers to shop around for the best savings deals and urges banks to prompt customers in lower-paying accounts to move.
Real estate agents in Summit County, Colorado, believe that the recent interest rate hikes by the Federal Reserve are contributing to a decline in real estate transactions. The higher interest rates make borrowing more expensive for mortgage companies, potentially leading to higher mortgage payments for homeowners. This, coupled with local short-term rental regulations and limited inventory, has resulted in a stagnant housing market with fewer transactions, longer days on the market, and a slight drop in home prices.
The Bank of England's Monetary Policy Committee is expected to hike interest rates by at least 25 basis points on Thursday, with a 27% chance of a 50 bps hike. Despite a welcomed move lower in headline inflation, widespread price pressures observed in the services sector and upward trending salary growth must come down. The issue of rising mortgage repayments was the subject of debate in the House of Commons, but hiking interest rates remains the Bank's most effective tool in calming rampant inflation. The pound sterling has enjoyed a sizeable rise against the US dollar in recent times as markets appear to be overestimating the extent of BoE hiking.