I expected mine might go up but I didn't forecast it going up by over 4x within one renewal cycle. How silly of me.
Mortgage Rate Rises
- Thread starter glenimp617
- Start date
I expected mine might go up but I didn't forecast it going up by over 4x within one renewal cycle. How silly of me.
That's the trouble with crises, you can't plan for them
Get a better job then. But wages have never been higher
Last edited:
Wooosh!
That’s my point - my wages -historically are higher than they would have been 20 years ago - doesn’t mean they MUST go back down.
My job pays well and we will be able to weather 15% interest rate. It’s why we chose a house at this price - I am however disgusted at paying the £300,000 interest.
Nothing we can do about it though it's there? I was paying 9% when when I bought my first house, it's just the way it is.
Low rates means people can borrow more. So prices go up. It's a vicious circle
We can lock mortgage rates - apply new rates to new borrowing. The bank would have released the total funding at contract exchange.
Allow choice. People in mortgages have no choice.
You think landlords are going to maintain their rates if their mortgages are going up?
And what was the loan value when you were paying 9%? I don't mean your LTV, I mean your actual debt.
Last edited:
The going rate for a 2 bed end terrace at the time.
75k. I was earning 25k single rate as I bought on my own.
Yadda, Yadda houses cost more now. Yadda Yadda,.
They went up so much cos the rates were low, don't yet get it.
I am all for house prices dropping, they can go down 90% it makes odds you only need 1 home to live in. It's all relevant
Last edited:
Stop skirting around the issue. What was the actual loan value? Or are you being intentionally vague because the going rate for a 2-bed end terrace was likely in the low tens of thousands, if not even single-digit thousands?
9% interest on a £30k loan vs 9% on a £175k loan is nearly 6x higher payments. Unless you're going to include your actual loan value then your argument is null and void.
EDIT: You edited in your values after I'd quoted and replied. A salary of £25k isn't far off the median salary now in 2022. When did you buy the house?
Last edited:
2000, might have been 20k it was a while ago
Last edited:
Median salary in 2000 was less than £19k, so you were earning well.
Indeed, average to high salary.
Still cheaper than paying a mortgage yourself
In every single case all over the country?
Maybe if you're paying your mum £20 a week for your room, but out in the real adult world, not really.
Have you put up your tenants rent yet?
Most likely. If mortgages were affordable less people would rent.