Caporegime
They should only have people who are buying a house for themselves to do up and live in or buying for their kids to give them a start. They shouldn’t have people who are buying simply to add to their ‘portfolio’. That’s just nauseating.
Interest rates increased
- Thread starter Dirk Diggler
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Soldato
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1970s people are just so nails. Bad snow, hot summers and real inflation not like this gen z rubbish.
Think the 1970s people were better than world war generation by all accounts of anyone that lived through the 1970s.
Love paying 1.70 a litre for fuel looking at houses thinking it's a pipe dream on 2 full time wages. Wish I was alive through the 1970s so I could learn not to complain.
Think the 1970s people were better than world war generation by all accounts of anyone that lived through the 1970s.
Love paying 1.70 a litre for fuel looking at houses thinking it's a pipe dream on 2 full time wages. Wish I was alive through the 1970s so I could learn not to complain.
Soldato
1979 17 1980 14 1981 14.375 1982 10 1983 9.0625 1984 9.5 1985 11.375 1986 10.875 1987 8.375 1988 12.875 1989 14.875 1990 13.875 1991 10.375 1992 6.875 1993 5.375 1994 6.125 1995 6.375 1996 5.9375 1997 7.25 1998 6.25 1999 5.5 2000 6 2001 4 2002 4 2003 3.75 2004 4.75 2005 4.5 2006 5 2007 5.5
No wonder us boomers are made of stronger stuff,some historical interest rates
So, despite your opinion about "us boomers being made of stronger stuff" and posting historical rates from the 70s, 80s and 90s to support this point, you didn't actually have to pay those much higher rates given you didn't buy your house until the early 00s?
.
Soldato
weird flex by some boomers who bought houses at 4x the average wage in nice part of uk and now ask for rate increase.
It’s 14x average here where I live and I’d love to see anyone on average wage afford anything here without the bank of mummy and daddy or fat inheritance.
That 2% increase to many is 200-400 quid a month extra. Many are already stretching themselves beyond belief to afford a property never mind have space for another 2-400 a month extra.
It’s 14x average here where I live and I’d love to see anyone on average wage afford anything here without the bank of mummy and daddy or fat inheritance.
That 2% increase to many is 200-400 quid a month extra. Many are already stretching themselves beyond belief to afford a property never mind have space for another 2-400 a month extra.
Soldato
I bought A house then ,not my fault your an under achiever dood
Soldato
.. based on solid facts.Just because someone doesn't regale their achievements ad nauseum does not infer they are an "under achiever"
Good to see how alcohol brings out the best in some people
Soldato
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The interest rates are deceptive because houses were vastly cheaper, I think my parents paid about 35/40k for a 4 bed semi in the late 80's, that same house just went for 280k last year
Caporegime
My dad bought a North London house in 79 for £10k that needed a lot of work. It’s worth £1.6m today
Soldato
That’s exactly it. That 1% back then meant nothing compared to that 1% now. In my case 1% is over £200 extra a month.
Soldato
ISA saving ratea are still shockingly low though.
Caporegime
That’s just what people needed, higher mortgage payments
He wasn't a London Taxi Driver was he?My dad bought a North London house in 79 for £10k that needed a lot of work. It’s worth £1.6m today
Which reminds me, where is....forgotten his name
Caporegime
No lol, just a regular chippie who had to work for a year getting it into shape. He sold it in 1997 for £165,000. It’s now worth £1.6m.
That shows you how crazy things have got in the last 25 years.
Soldato
I remember buying our first house when interest rates were around 15%!!!!
Many moons ago!
Mortgage was £28k lol....
Many moons ago!
Mortgage was £28k lol....
Caporegime
Exactly, my dad got a mortgage for his £10k. But at that level, an interest rate of 17% was not really an issue. Bit different when your mortgaged for £250k or so.
Soldato
This is a joke right? People losing their homes by the 10s of 1000s with interest rates well over 10% for years. Unemployment rates in double digests for lots of the 1980s. Power cuts. Yeah they were great times and the economy was booming!
Soldato
Fair enough, I agree on that. But the same thing happens in reverse - with recent buyers who are mortgaged up to the hilt demonised by existing owners (who if forced to buy now likely wouldn't be able to afford to buy the house they live in) for stretching themselves too far (as one poster put it, wanting that extra conservatory). Thing is, its not like people have got a whole load of choice is it. There is nothing cheap out there, and there is so much poor condition property that is also still expensive. It is an absolute nightmare. You think people don't know they are taking on a lot of financial risk? They do believe me, there is just no other option.
Soldato
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This is a joke right? People losing their homes by the 10s of 1000s with interest rates well over 10% for years. Unemployment rates in double digests for lots of the 1980s. Power cuts. Yeah they were great times and the economy was booming!
UK GDP growth 2023 | Statista
The UK's GDP growth in 2023 was far weaker than in 2022 and 2021, with the economy stalling towards the end of the year.
www.statista.com
Doesn't look so bad for the 80's
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This point doesn't get raised enough.
On one hand you've got people saying 'you have to get on The property ladder, house prices always go up over large time scales
On flip side you've got (often the same people saying): it's this generations fault for taking on so much debt. These low rates were always going to end.
Few things are critical in my opinion.
How expensive is energy going to get?
How long is energy going to stay at those heights?
How high are rates going to go?
How long are rates going to stay high?
Personally I think the energy is driving the inflation and thus driving the Base Rate.
The base rate is directly controllable.. Within reason.
I genuinely dread what will happen if rates spike to breaking point?
I guess, we know its going to be bad.. But how bad is it going to get?
New mortgage Debts are so high that if you did slip into negative equity your interest rate on SVR could easily bankrupt you. This is a real possibility for many.
Even now isn't SVR usually 4-5pc?
It's surely going to catch a lot out I'd expect?
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