Hi @Brndete , many thanks for your contribution.
Well, I’m a kind of a person who likes to debate, and also in front of situation like that, before taking a decision (e.g. dicthing someone), I would prefer to have a consistent view on that, as I might have blind-spot. It’s likely it will go this way, as the more I see that, the more I’m convinced my direction was distorted since the beginning with his approach.
About the right time to block, I fully agree with you. Right/Bad decision in this case, cannot be anticipated, only time will say. To my control, is only the regular monitoring of the rate and trends and block at the right time the best offer (at the moment). This is on my to-do list since 2 months.
About the fear level and the affordability. My budget forecast see that till 5%, it will be something we can afford (of course, with a recalibration of our expenses and other investemtns). But it does not mean, I’m willing to pay that - I try my best to find the optimal trade-off. Extra-cash is currently reserved for the furniture et similia, but if required, portion of that can be highjacked to add more cash-flow to the mortgage (see above, recalibration). Pledging of 2nd Pillar was an express request of the consultant, he really imposed that: other banks, knowing same exact conditions, did not ask for that as the affordability ratio was OK for them. However, only 1/3 of the 2nd pillar is pledged.
The SARON, part, I need to confess I require to dedicate more time as many of you are suggesting to keep this one still in the equation.
About the sleep at night, of course this is something I aim for. And that’s why, blocking today a 10Y for 3.0% it makes me like out of the game, as I can’t control that anymore. And to whatever fluctuation (in the negative area), it will remind me about the option, and create turbolance on my way of thinking about that. Where, with the lower Fix, it still gives me the option to control (and the better and worst scenario)… not sure how much is valid my argument, as this is mostly a behavioral aspect