Soldato
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Mortgage Rate Rises
- Thread starter glenimp617
- Start date
It was a joke my friend, I wouldn't read into it too much.
My point was mainly that if you paid £4000 interest over 7 years at 2.19% then you must have had an absolutely tiny mortgage. I might be wrong here but a very basic calculator suggests that at 2.19% over 7 years you would have paid ~£4000 interest on a £50k loan.
With the price of housings pretty much anywhere in the UK thats an absolutely tiny mortgage hence my joke about a shoebox or a bike box as thats all you would get around here for that sort of money. There was no judgement. For all we know you work in banking and have a £3m house in central and have so much money that a tiny mortgage was all you needed.
And yes, i'm far too poor to pay off a house in that short a period. My next mortgage will be with me into the afterlife.
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It's fine to mock the same post and run nonsense you use elsewhere.
How much did you pay for the house?
Soldato
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Correct on the first point, I paid 50% deposit, so remainder wasn't that much.
Mortgage was £350 a month, and monthly interest fees wasn't a lot, Highest was £90 at the very start. Paid 10% overpayment every year so that helped, did first 10% overpayment within three months so each time saved 1 year of payments, plus reduced interest ie £90 to £75 when 10% was paid in.
Two bedroom (big rooms) and large room for bathroom and seperate shower (about the size of a double bedroom) master bedroom is about the size of a typical UK living room. Kitchen is a bit small, but can't have everything. At least the toilet/bathoom isn't on the ground floor behind the kitchen like some victorian houses around here.
I spent some time before buying a house what difference in deposit, term, monthly payment made in total interest. Had a heart attack if you put 30 year term, minimum deposit etc, I think £100,000 - £150,000 interest or something like that.
Also meant I could leave one job, not begging to do overtime without worrying I'm zeroed out at the end of the month.
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Soldato
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£100,000
Fair enough.. I mean obviously a very cheap house but also a decent clip to pay it off.
To clear than in 7 years is about 1/3 of my monthly payment but then you can't buy a garage for £100k here so it's all relative.
I'd be looking at paying 50 ish k a year for mortgage alone to clear that in 7 years.
my house is worth 450k tho, so different kind of mortgage sadly. Yes I wish I was mortgage free but where I decided to buy/live the costs are high so it is what it is.
Soldato
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£100,000 gets you a good first house in this area. £75,000 gets you a similar house but needing needing refurbishing
It didn't need any work doing to it either, new carpets, fresh paint, new bathroom items etc. Kitchen cupboards aren't new, but should last another 15 years.
Also it's not fenton/burslem/tunstall area (complete dumps)
Not on your 50k mortgage with a 2.19% rate. On 50k the interest rate would need to be approaching 10% for you to pay £100k interest over 30 years.
I like to wind myself up occasionally by looking at houses in other parts of the country and seeing that I could get what would be a £2-3m around here for about £700k. A man can dream. If we didn't have family around here or children I would either move abroad or at least to a cheaper part of the country.
I have my face rubbed in it quite a lot.. I work in Surrey, my industry is here so to continue in my line of work I have to be here. So I am, and I just had a £1m offer accepted on a doer upper detached 4 bed.
I come from Huddersfield, my mum still lives in my childhood house.. My dad died earlier this year and I don't think she'll be that far behind him. I'm an only child and will inherit the house, a 2 bed terrace which is worth less than my salary.
And I like where I come from, I'd go back.. and having been back a lot this year I end up browsing rightmove and driving myself crazy.
But the facts are the facts, couldn't do what I do now if I moved back. Maybe someday.
I feel like I should have grown a pair and gone tracker. Easy to say now I know but already seeing rates under 4% and I've just renewed in June on 4.07% on 2 year fix. We're paying over £1600 a month which stings. 
At least I don't have to worry about faffing with savings accounts now. Any spare I find down the back of the sofa will go into mortgage over payments.
At least I don't have to worry about faffing with savings accounts now. Any spare I find down the back of the sofa will go into mortgage over payments.
Ha ha that wasn't my intention sorry.. it was more that a house in Huddersfield is worth very very little.Salary fleeeeex bhoy.
Seriously, what do you do?
I'm essentially in senior sales for a tech company.
Soldato
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I do that too.. dunno why but we love to suffer
Swimming pool for sale in knightsbridge london
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Deep pothole
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I'm in the same boat, but the last time I 'gambled' I went from 1.28% to 4.4%.I feel like I should have grown a pair and gone tracker. Easy to say now I know but already seeing rates under 4% and I've just renewed in June on 4.07% on 2 year fix. We're paying over £1600 a month which stings.
At least I don't have to worry about faffing with savings accounts now. Any spare I find down the back of the sofa will go into mortgage over payments.
We can scrape by at the current 4.07% for the next 5 years, just means clearing debt will be slower. If we ended up with rates hitting 5%, we'd likely lose the house, not a gamble I was willing to take.
As late buyers (I'm 40) we bought our house 2 years ago at 4.79% fixed with a reasonable deposit. A re-roof happening sooner than planned meant planned overpayment didn't happen. Thankfully we're at a similar LTV so just locked in at 4.25% for 5 years. I'm not savvy enough to even slightly guess at what might come, but I'm not willing to gamble on rates going higher. I like to know where I stand to maintain some lifestyle even if it means paying more overall (if that make sense).
It came around way too fast. I was going to go for 3 years but instead we'll pay the monthly difference as overpayments instead (at a minimum). With all the fees and charges involved to change lender it feels like throwing money out the window doing this in another 2 years. Next time I might cut out the broker and do some of my own homework.
It came around way too fast. I was going to go for 3 years but instead we'll pay the monthly difference as overpayments instead (at a minimum). With all the fees and charges involved to change lender it feels like throwing money out the window doing this in another 2 years. Next time I might cut out the broker and do some of my own homework.
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I've had a chat with a broker over mine and they've been talking about 3.89% ish over 2 years.. we're at 70% LTV.
Then I went and looked at Nationwide who we're already with and their rate (not related to being an existing customer) is 3.85%.. it's made me wonder as an entirely vanilla borrower (which I haven't always been to be fair) is there any point in a broker?