Mortgage Rate Rises

Richie said:
If the economy keeps contracting, it may encourage the BoE to cut rates quicker to stimulate spending.
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This is how I see it happening. We are basically in a complete death spiral now. Economy tanks, rate cuts, credit goes nuts everyone starts buying everything on the drip again. House prices rocket. Rinse and repeat in 10 years time when everything collapses. Although eventually will come a point when it cannot continue but by then it will be too late and people will never finish paying off their mortgage before they die. We will all essentially be renting off the banks for life :P.
 
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adam cool dude said:
This is how I see it happening. We are basically in a complete death spiral now. Economy tanks, rate cuts, credit goes nuts everyone starts buying everything on the drip again. House prices rocket. Rinse and repeat in 10 years time when everything collapses. Although eventually will come a point when it cannot continue but by then it will be too late and people will never finish paying off their mortgage before they die. We will all essentially be renting off the banks for life :P.
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Generally when the economy tanks or a deeper recession people start losing their jobs and credit is harder to come by, not easier. That is really the only time we ever see house prices drop.
 
200sols said:
Generally when the economy tanks or a deeper recession people start losing their jobs and credit is harder to come by, not easier. That is really the only time we ever see house prices drop.
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That is what I was trying to get across. To prevent the economy from tanking they do all this just delaying the inevitable making the ending just as bad if not worse.
 
It's not totally a mortgage thing but I'm going to move in 2025... is purple bricks still a thing? We sold our last house with them in 2019.. I'm quite resistant to giving an estate agent well over £10k to sell my house.

I get paid well to be a better salesperson than you generally find in an estate agents, so does my GF :cry:
 
matt100 said:
It's not totally a mortgage thing but I'm going to move in 2025... is purple bricks still a thing? We sold our last house with them in 2019.. I'm quite resistant to giving an estate agent well over £10k to sell my house.

I get paid well to be a better salesperson than you generally find in an estate agents, so does my GF :cry:
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www.purplebricks.co.uk

Our Selling Packages

We think estate agent fees should be fair, so with our house selling packages, you only pay for what you need. Sell your home for free, or get full support.
www.purplebricks.co.uk www.purplebricks.co.uk
 
matt100 said:
It's not totally a mortgage thing but I'm going to move in 2025... is purple bricks still a thing? We sold our last house with them in 2019.. I'm quite resistant to giving an estate agent well over £10k to sell my house.

I get paid well to be a better salesperson than you generally find in an estate agents, so does my GF :cry:
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I would use a local estate agent with a proven record of sales and negotiate the price with them. We used an online agent in 2021 and never again. I can't comment on Purple Bricks but I suspect they operate mostly the same.
 
Hagar said:
...and we have not trained enough brickies chippies or sparks to fulfil Angela's dreams of 370,000 houses a year, by far. Sending too many people to university on rubbish courses ending with no job and serious debt.
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I can promise you there is limited overlap with potential brickies and those studying crap courses at uni. Uni is a massive business that employs thousands, and impacts millions locally.
 
fastwunz said:
I find it odd that we have such a lack of supply of brickies and sparks - I live in Surrey and they are some of the highest earning people I bloody well know
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It's pretty much the same in Australia. Here it costs about AUD $750 for a brickie for half a day. Carpenters are chasing up to AUD $130k a year.

e: there's a shortage of construction tradies in .au and that's before the gov here (too) recently announced the target of building 1 million new homes in 5 years. Sound familiar?
 
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Penfold101 said:
If there aren’t many of them they can charge what they want. If there was an abundance, they’d be reducing prices to get the business.

Supply and demand.
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Very true - honestly I wouldn’t mind if one of my boys grew up to be a sparks or plumber for instance. Either that or go to uni and do a PROPER degree with an end goal of employment in sight - law, building surveying, architecture etc etc
 
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Hagar said:
...and we have not trained enough brickies chippies or sparks to fulfil Angela's dreams of 370,000 houses a year, by far. Sending too many people to university on rubbish courses ending with no job and serious debt.
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Nah it's not that. Can guarantee that house building companies will not increase the rate at which they buy houses as the price will drop and they'll not make as much profit as they currently are, they'll continue building houses at whatever rate they deem gives them (and their shareholders) maximum profit/returns.
 
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