Mortgage Rate Rises

413x · 2 Dec 2022 at 23:11

MatsyLR said:
I'm on a 5 year fix at 5.04% even if it went down to say 3.5% its only £28 a month, comes to £1600 over 5 year. I'll take that for the security of not having to worry about anything.

TBH if it was that low mortgage must be small! I'd probably just tracker it to the end

jonneymendoza · 2 Dec 2022 at 23:18

413x said:
TBH if it was that low mortgage must be small! I'd probably just tracker it to the end

I'd just pay the whole lot if it was that low

jonneymendoza · 2 Dec 2022 at 23:25

danlightbulb said:
I accept my presentation of the issue was somewhat exaggerated yes. I stand by the principle though and it applies to loads of things.

It really is not feasible to be able to own a mountain bike if you live in a one bed flat. Sure you can do it, at great inconvenience, but it doesn't make the idea appeal very well.

And why shouldn't more people get to be woodworkers or car mechanics? Where has self sufficiency gone?

We're going backwards in my view, which is part of the reason we're all now struggling with demand and inflation, because no-one has any backup for when those things start costing more or being in short supply.

Good luck doing any kind of car work on the latest cars that require technical machines from manufacturers to do any job on it...

BurningHorizons · 6 Dec 2022 at 08:17

My current fix ends in April. If I lock in a new rate today, and it drops again before April, is there anything to stop me from cancelling and applying for the lower rate? TIA.

glenimp617 · 6 Dec 2022 at 08:35

jonneymendoza said:
I'd just pay the whole lot if it was that low

That's a decent savings pot you have. I'm trying myself, slightly higher mortgage than that but I can save a good amount each month (although, with the way things are going, it's not as much as I'd like).

I can't wait to get my mortgage paid. I'm even sacrificing having a new bathroom, kitchen and garden which are all dreadful. Think we can manage a bit longer.

kona786 · 6 Dec 2022 at 09:08

BurningHorizons said:
My current fix ends in April. If I lock in a new rate today, and it drops again before April, is there anything to stop me from cancelling and applying for the lower rate? TIA.

You can bail on the old rate as long as you don't follow through completely.

kona786 · 6 Dec 2022 at 09:10

TheOracle said:
That's a decent savings pot you have. I'm trying myself, slightly higher mortgage than that but I can save a good amount each month (although, with the way things are going, it's not as much as I'd like).

I can't wait to get my mortgage paid. I'm even sacrificing having a new bathroom, kitchen and garden which are all dreadful. Think we can manage a bit longer.

Same can't wait to get my mortgage paid.

Since 2020 I've been overpaying significantly over my monthly payments.

BurningHorizons · 6 Dec 2022 at 09:15

kona786 said:
You can bail on the old rate as long as you don't follow through completely.

Thank you

ci_newman · 6 Dec 2022 at 09:16

jonneymendoza said:
Good luck doing any kind of car work on the latest cars that require technical machines from manufacturers to do any job on it...

Sensationlist much? You're right that the number of sensors on cars has increased but ODB readers are readily (and cheaply) available and that's ignoring all of the mechanical repairs you can do with suspension, brakes, wheels and tyres etc.

In fact there's a whole world of independent servicing centres that disproves your theory, you really expect all of them to have every single machine for every single manufacturer?

jonneymendoza · 6 Dec 2022 at 09:49

TheOracle said:
That's a decent savings pot you have. I'm trying myself, slightly higher mortgage than that but I can save a good amount each month (although, with the way things are going, it's not as much as I'd like).

I can't wait to get my mortgage paid. I'm even sacrificing having a new bathroom, kitchen and garden which are all dreadful. Think we can manage a bit longer.

even though i have a decent pot. i cant take it out easily as it will get taxed.

jonneymendoza · 6 Dec 2022 at 09:50

ci_newman said:
Sensationlist much? You're right that the number of sensors on cars has increased but ODB readers are readily (and cheaply) available and that's ignoring all of the mechanical repairs you can do with suspension, brakes, wheels and tyres etc.

In fact there's a whole world of independent servicing centres that disproves your theory, you really expect all of them to have every single machine for every single manufacturer?

NO its true.

Not many cars now are easy to do stuff on your own.

MatsyLR · 12 Dec 2022 at 10:35

Rates went down last Friday at least for Halifax in my LTV bracket.
Changed my 5.03% 5 year fix to 4.59% same product/term this morning. Still early in the house purchase process so was alllowed to change, saves around £480 over the 5 year fix in monthly payments (not counting interest saved)
The guy dealing with my application has many people to call today apparently for exactly the same thing as he got lots of emails over the weekend from people asking to get swapped.
Wonder what is actually happening at the end of the week with the meeting thats going on?

glenimp617 · 12 Dec 2022 at 11:17

Santanders fixed dropped by around 1%

happy_2008 · 12 Dec 2022 at 11:33

Good signs!

Kill_Phil · 12 Dec 2022 at 11:37

TheOracle said:
Santanders fixed dropped by around 1%

Thought they had been around 5% for couple weeks now? Anyway arent BoE likely to raise base rate by further 0.5%?

glenimp617 · 12 Dec 2022 at 11:41

Kill_Phil said:
Thought they had been around 5% for couple weeks now? Anyway arent BoE likely to raise base rate by further 0.5%?

Ah, I've not checked in a couple of weeks. Last time I did, they were just under 6%. Think they were 5.89% if memory serves.

MatsyLR · 12 Dec 2022 at 11:52

TheOracle said:
Ah, I've not checked in a couple of weeks. Last time I did, they were just under 6%. Think they were 5.89% if memory serves.

They where over 6% on 5 year fixes when I checked a few weeks ago.

glenimp617 · 12 Dec 2022 at 11:56

MatsyLR said:
They where over 6% on 5 year fixes when I checked a few weeks ago.

Ouch!

adam cool dude · 12 Dec 2022 at 13:56

Barclays currently at 5.41 2yr fixed on rewards for existing customers so gone down .4%. Will be short lived when the BOE put up rates again.

Richie · 12 Dec 2022 at 14:07

adam cool dude said:
Barclays currently at 5.41 2yr fixed on rewards for existing customers so gone down .4%. Will be short lived when the BOE put up rates again.

Not likely... They have priced the increase in already. The gap between BoE rate and mortgage rate has been vast in comparison to last year. It was artificially jacked up after the disastrous mini budget from Kwarteng et al due to market nervousness.

Now things are far more stable, the gap will likely narrow albeit it'll still be 4.x%.