Let me explain it for you.
Someone who could have locked into a better deal when interest rates had started to go up didn't.
Someone who says they could see interest were going to go up last year kept it to themselves.
Mortgage Rate Rises
- Thread starter glenimp617
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Someone who could have locked into a better deal when interest rates had started to go up didn't.
Someone who says they could see interest were going to go up last year kept it to themselves.
Interest rates were at the the lowest they're ever going to get, so it was pretty obvious they were only going to go up. The only question was when and by how much.
If my ERC wasn't so high I would have left and locked us in to another 5 year or even 10 year fixed deal.
I didn't and now I'm kicking myself! That ERC is now eaten up in 1-2 year additional percentage payments!
My gamble now is to fix next year and hope the rates haven't gone up massively! Fix for 2, maybe 3 years, and hope they drop again in the coming recession.
If my ERC wasn't so high I would have left and locked us in to another 5 year or even 10 year fixed deal.
I didn't and now I'm kicking myself! That ERC is now eaten up in 1-2 year additional percentage payments!
My gamble now is to fix next year and hope the rates haven't gone up massively! Fix for 2, maybe 3 years, and hope they drop again in the coming recession.
Ah yeh thanks for clarifying. I think their 2 year fix is something like 2.2%It's not 2.09% for the term. It's a 1.66% discount on their Standard Variable Rate for the term giving a current variable rate of 2.09% (their current SVR being 3.75%). It's available with 80% LTV.
Compare Mortgages - The Stafford Building Society
Discounted and variable rate mortgages available for First time buyers, buy to let, expat BTL, holiday BTL and Mixed Use. Compare our mortgagessrbs.co.uk
That's good to know. I'm feeling a bit better about the rates available to us then. Going to drop our broker a message on Monday and see if he can get equivalent deals.
With some of those local building societies, don't you have to live in the area to get access to them?
I'm sure when I was looking first looking for a mortgage (admittedly 10 years ago now), the best rate was with Yorkshire building society, but we couldn't get it as we were down South.
Soldato
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mate, a blind man could see what was coming
Yeh that might also be the case. Will do some more digging.
We’ve used Leeds Building society before for a mortgage on our old flat based in central London.
Associate
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My fixed rate ends at the end of March next year, am I correct in thinking that I can lock in a new rate 6 months in advance, i.e. in October?
Caporegime
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Depends on the lender, it was 4 months for us with Santander.
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Nationwide was lock in 6 months, apply new rate 3 months before end.
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I don't think you can get a 2 year fix for 2.2%. Cheapest fixes now are 3.5%.
Soldato
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We've got a 5 year fix with Barclays held from June at 3.35%, but waiting to see what Halifax will offer from October (fixed term ends Dec) on a shorter fix. Is it foolish to think rates might fall again in 1-2 years?
BoE are in a bit of a bind at the moment - increase interest rates to chase the Fed but crush demand or keep them low knowing it won't fix supply side inflation anyway.
BoE are in a bit of a bind at the moment - increase interest rates to chase the Fed but crush demand or keep them low knowing it won't fix supply side inflation anyway.
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Yes, they were at historic lows and the economy is screwed.
Caporegime
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Fixed mine last week at Barclays, 2 years (and 2 months randomly), at 3.58%. Current rate have 2 months to go.
I don't see rates falling back to the historic lows. Traditionally the rates were all around the 5-7% depending on the LTV and I see them getting towards that's over the next 12 months and generally staying around there
I think some have the the view, that because we are likely to go into a recession next year, the Bank of England will suddenly reduce rates back down to the 1%-ish again. I really can't see that happening... You can still have high inflation in a recession. If that happens then rates will not be going down.
I think some have the the view, that because we are likely to go into a recession next year, the Bank of England will suddenly reduce rates back down to the 1%-ish again. I really can't see that happening... You can still have high inflation in a recession. If that happens then rates will not be going down.
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If so that will hurt so many.
In general people just don't comprehend finances as good as they should. I know a high earner that thought the price cap for energy was a ceiling for an all you can eat electricity buffet.
I agree - anyone coming off a fix over the next 6-12 months and unable to lock in due to time till the end of the current deal or are unable to afford the ERC are potentially in for pain.
The un-empathetic out there state they only have themselves to blame and seem completely unaware or uncaring that a lot of these people have only ever known low rates since their early/mid-teens and therefore why would they think they would raise so much so quickly.
They all shout about how they "seen it coming a mile off".... Its doubtful that they seen the 2008 financial crash "coming a mile off" or that interest rate would be kept so low for so long but now, suddenly, they're the next Michael Burry.
TBH, it's not actually the un-empathetic people that irk me, it's the people that go one further and appear to take glee in other peoples hardships... Schadenfreude as the Germans call it.... I can think of another, more fitting 4 letter word.
The un-empathetic out there state they only have themselves to blame and seem completely unaware or uncaring that a lot of these people have only ever known low rates since their early/mid-teens and therefore why would they think they would raise so much so quickly.
They all shout about how they "seen it coming a mile off".... Its doubtful that they seen the 2008 financial crash "coming a mile off" or that interest rate would be kept so low for so long but now, suddenly, they're the next Michael Burry.
TBH, it's not actually the un-empathetic people that irk me, it's the people that go one further and appear to take glee in other peoples hardships... Schadenfreude as the Germans call it.... I can think of another, more fitting 4 letter word.
Yes although not many as far as I am aware.
Cambridge building society used to be like that, although this was about 10 years ago, they only lend in Cambs, Essex, Suffolk and I want to say Bucks, but don't quote me on that. No idea if it's changed I can't be arsed to look it up.
Not man these days though most are nationwide although it's more common lenders won't lend in Scotland but that is because their laws are different.
Tory?