A local trusted mortgage advisor
A capped rate mortgage is a cross between a variable and fixed rate mortgage.
The interest rate will never rise above a certain rate within the specified capped rate period. If the variable mortgage rate is less than the capped rate, then the borrower is charged that variable rate.
Richard says:
A good option when rates are low as can value a tracker with a maximum rate payment, so payment cannot go above ceiling (or capped) rate.
YOUR HOME MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON YOUR MORTGAGE
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YOUR HOME MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON YOUR MORTGAGE