Soldato
- Joined
- 23 Nov 2014
- Posts
- 7,963
- Location
- The Cronx
Do tell...although I'd consider "fantastic" as >10% in the current climate, anything less is just eroding less fast
Mortgage Rate Rises
- Thread starter glenimp617
- Start date
Do tell...although I'd consider "fantastic" as >10% in the current climate, anything less is just eroding less fast
I'd probably have to sell my M3 and get something sensible.
My parents bought a house in 78 for £2500 and were paying 15% interest on it. They had it valued this year for £950k.
If we had to re-mortgage now, it would certainly hurt (+£800pcm). We'd survive, provided neither of us lost our jobs. But we've held off making any future financial committments just incase (so much for getting a Tesla).
I'm guessing a lot of people in a similar boat, having bought/moved once covid restrictions were relaxed and the stamp duty holiday introduced - so 5 years after that is going to be a major deadline for interest rates to relax by.
Last edited:
Coincidentally one definition of inflation is rising price for every product except labor.
If companies didn't innovate in rich years, they will not magic up any improvements in lean years.
Meaning they have to make profit old school, by taking more value add from workers.
Faced with a choice of paying less (pay rise not matching price rise) to workers or go bankrupt, where do you think they go?
Caporegime
- Joined
- 22 Oct 2002
- Posts
- 28,317
- Location
- Boston, Lincolnshire
Do tell...although I'd consider "fantastic" as >10% in the current climate, anything less is just eroding less fast
Well we have two lots of Barclays at 5% in the rainy day saver and the rest in blue rewards saver at 3% but yeah when you put it like that it is not great.
At least the interest pays my increase in mortgage payments for the next 3 years.
Caporegime
- Joined
- 22 Oct 2002
- Posts
- 28,317
- Location
- Boston, Lincolnshire
Deleted User 298457
Deleted User 298457
Wash your mouth out!Share holders take less?
Deleted User 298457
Deleted User 298457
No
I think it will because the basic/essentials to life are unlikely to keep increasing at the same rate. Inflation can still fall whilst those prices are going up.
Hope you're right! Can't see how inflation can fall unless the basic/essentials do at the same time as this is the main driver at the moment
Cost of goods doesn't have to fall for inflation to fall, it just has to stop rising as quickly.
When I took my 5 year last year the 10 was exactly the same rate. 1.93
Soldato
- Joined
- 23 May 2006
- Posts
- 7,914
too many people (probably not on here) seem to think if inflation falls then prices will fall too ... where as it does not necessarily mean that at all. all it will mean is that the value of our money will decrease.at a slower rate.... prices could still stay high , or even keep on increasing even if inflation halves.
I hope I am wrong but I fear we will never see 2020 prices ever again for most things. we are poorer than we used to be and for most of us I think that is something we will have to live with.
I hope I am wrong but I fear we will never see 2020 prices ever again for most things. we are poorer than we used to be and for most of us I think that is something we will have to live with.
Last edited:
I was lucky, my 5 year offer 3.14% and 10 years 3.24% (Oct 2022)
I took the 10 years as that sees me to the end.
Deleted User 298457
Deleted User 298457
You excluding all of the challenger banks in that statement? Some of them are increasing based on the expectation the rate will go up!
Yes, I am. Traditional building society on high streets only. I'm old fashioned there. Passbook too.
