Will mortgage rates rise or fall ?

[humdrum]

We have a property at the arse end of the empire i.e outside the M25 and to my of thinking it is all win win. With inflation going through the roof its value is increasing while we are just doing sod all so that, if not actually making money, we are better than off than having cash in the bank.

 

So things are good.

 

Except can we put the cherry on the cake? My assumption has always been that as the world's economy improves, then there will a greater demand for money, which means the price, and therefore mortgages rates, will rise. But we live in a funny old world and the latest projections are for mortgage rates to fall.

 

It is my belief that most economic forecasts depend on how well the forecaster has dined and aren't to be relied upon beyond the weekend. Still, what is your take ? Will mortgage rates rise or fall ?

[King Penda]

Rise with luck (it gives me a glorious errection). The real irony is I want another house but simply don’t care. I will get a higher interest rate on my small amount of savings and the public learns to fear debt once more.

Edited April 20, 2023 by King Penda

[King Penda]

Just sent my mad friend in Telford this 

[One percent]

14 minutes ago, King Penda said:

Just sent my mad friend in Telford this 

It will still not be at the level we had before ‘emergency’ rates were introduced.  

[King Penda]

1 minute ago, One percent said:

It will still not be at the level we had before ‘emergency’ rates were introduced.  

Correct the dumb cunts don’t realise this 

[One percent]

Just now, King Penda said:

Correct the dumb cunts don’t realise this 

The dumb cunts don’t have the first clue as to anything. My mate calls them monkeys. Favourite phrase is, ‘and the monkeys can’t see it’.  

[King Penda]

15 minutes ago, One percent said:

The dumb cunts don’t have the first clue as to anything. My mate calls them monkeys. Favourite phrase is, ‘and the monkeys can’t see it’.  

Well if I cash my small pension in and bank my stash I’d have over 45k if I could get 5% that’s about 190 a month in interest .there’s lots of talk about interest rates droping dramatically I can’t see it . I think it’s a gimmick to get peoples cash stuck into 3/4 year deals at lower interest rates now. I’d not be surprised if we are not over 6.5% by Xmas 

[One percent]

1 minute ago, King Penda said:

Well if I cash my small pension in and bank my stash I’d have over 45k if I could get 5% that’s about 190 a month in interest .there’s lots of talk about interest rates droping dramatically I can’t see it . I think it’s a gimmick to get peoples cash stuck into 3/4 year deals at lower interest rates now. I’d not be surprised if we are not over 6.5% by Xmas 

And, if you have a small pension, it’s a bar to pension credits and all that comes with it. Best to piss it up the wall.  

[HousePriceMania]

5 hours ago, humdrum said:

 

 

5 hours ago, humdrum said:

We have a property at the arse end of the empire i.e outside the M25 and to my of thinking it is all win win. With inflation going through the roof its value is increasing while we are just doing sod all so that, if not actually making money, we are better than off than having cash in the bank.

 

So things are good.

 

Except can we put the cherry on the cake? My assumption has always been that as the world's economy improves, then there will a greater demand for money, which means the price, and therefore mortgages rates, will rise. But we live in a funny old world and the latest projections are for mortgage rates to fall.

 

It is my belief that most economic forecasts depend on how well the forecaster has dined and aren't to be relied upon beyond the weekend. Still, what is your take ? Will mortgage rates rise or fall ?

blockquote widget

Edited April 20, 2023 by HousePriceMania

[King Penda]

1 minute ago, One percent said:

And, if you have a small pension, it’s a bar to pension credits and all that comes with it. Best to piss it up the wall.  

Indeed so it’s going to be wasted on a bigger house that I actually don’t need . I won’t drink it ,I’m a piss head but a semi literate one.but let’s say for a laugh I could get 190 interest get a Ukrainian that’s 500 tax free.and worked say 2 shifts a week at £12.30 .that’s about 1180 (4 weekly ) add the lot up that’s an income of close to  1900 vertualy tax free every 4 weeks. I would class working 2 nights has vertualy retired 

[Ash4781b]

On 20/04/2023 at 21:37, King Penda said:

Well if I cash my small pension in and bank my stash I’d have over 45k if I could get 5% that’s about 190 a month in interest .there’s lots of talk about interest rates droping dramatically I can’t see it . I think it’s a gimmick to get peoples cash stuck into 3/4 year deals at lower interest rates now. I’d not be surprised if we are not over 6.5% by Xmas 

I think they will want to stop at 5%. Just so mortgage rates don’t take off. The economic numbers have been better and not convinced there’s the spare capacity that the Bank of England think. Firms are ridiculously confident in raising prices. The price rises are embedded in the supply chain now. I think this will play out as higher rates medium term. An utter disaster for interest only BTL 

[King Penda]

7 minutes ago, Ash4781b said:

I think they will want to stop at 5%. Just so mortgage rates don’t take off. The economic numbers have been better and not convinced there’s the spare capacity that the Bank of England think. Firms are ridiculously confident in raising prices. The price rises are embedded in the supply chain now. I think this will play out as higher rates medium term. An utter disaster for interest only BTL 

What they want does not come into it .it’s very exciting it’s also those on io morgages that are now getting reamed.my mates has gone from 120-400 a month. He only ows 75/80k

[Wight Flight]

11 minutes ago, Ash4781b said:

ridiculously confident in raising prices.

Not confident.

Have to.

[Democorruptcy]

On 20/04/2023 at 16:31, humdrum said:

We have a property at the arse end of the empire i.e outside the M25 and to my of thinking it is all win win. With inflation going through the roof its value is increasing while we are just doing sod all so that, if not actually making money, we are better than off than having cash in the bank.

 

So things are good.

Has your house value increased 10% in the past year? If not, why are things "good" when it's lost value in real terms?

[King Penda]

1 minute ago, Democorruptcy said:

Has your house value increased 10% in the past year? If not, why are things "good" when it's lost value in real terms?

The next one I buy has hopefully lost more.but I do know that rents morgages what you can get for a lodger and even a Ukrainian has gone up.this will not end well trust me.

[SpectrumFX]

The rule of thumb is that you don't get inflation under control until you put interest rates higher than the inflation rate.

Inflation is 10%. They won't put interest rates that high, so they'll wait, hoping that the inflation comes down by itself.

Hope is a terrible strategy.

[Wight Flight]

26 minutes ago, SpectrumFX said:

The rule of thumb is that you don't get inflation under control until you put interest rates higher than the inflation rate.

Inflation is 10%. They won't put interest rates that high, so they'll wait, hoping that the inflation comes down by itself.

Hope is a terrible strategy.

I think new rules are being written.

We have had interest rates below inflation for so long easy fixes are no longer an option.

[Sugarlips]

First Direct doing 5 years fixed mortgage at 3.94%, no idea about qualifying criteria but sounds alright compared to long term historical rates.

Edited April 23, 2023 by Sugarlips

[King Penda]

4 minutes ago, Sugarlips said:

First Direct doing 5 years fixed mortgage at 3.94%, no idea about qualifying criteria but sounds alright compared to long term historical rates.

Indeed if I only needed to borrow30/ 40k over 10 years I’d overpay and take the fine . There’s probably a 10% overpayment facility built into

it 

[humdrum]

On 22/04/2023 at 20:03, Democorruptcy said:

Has your house value increased 10% in the past year? If not, why are things "good" when it's lost value in real terms?

Dunno, but we bought it in 2009 and it has tripled in value since then so I am not complaining

[TNS]

20 hours ago, King Penda said:

Indeed if I only needed to borrow30/ 40k over 10 years I’d overpay and take the fine . There’s probably a 10% overpayment facility built into

it 

First direct unlimited overpayments, fill yer boots.