Mortgage Rates

Just fixed mine for 3 years, albeit a couple of months ago. It's obviously a judgement call, but everything I was reading at that time suggested 5 years was maybe too long.
 
For financial buffs,
Current offers of 5.6 - 5.9% are about as good as it gets.
Fix for 2years or 5 years?
They'll soon come down.
So I'd Fix for 2yrs max.
This country will be fighting mass unemployment and deflation very soon.
We'll need a bailout by the imf and may need to rejoin single market , not necessarily full eu membership, in order to stabilise the economy.
 
If you like the certainty of whats going out then the longer term fix would suit. Speaking from when I got my first mortgage in the early 1990s todays rates are not high. I appreciate those who just got on the ladder over the last 10-15 years think mortgage interest rates of under 4% are the norm, they really aren’t. Only you can know what suits you though. Best of luck.
 
They'll soon come down.
So I'd Fix for 2yrs max.
This country will be fighting mass unemployment and deflation very soon.
We'll need a bailout by the imf and may need to rejoin single market , not necessarily full eu membership, in order to stabilise the economy.
thanks. Its kind of reassuring there's someone out there who believes just about everything I don't
 
I’m pleased I managed to get my 5 year fixed sorted @2.99 % recently , mines not a big mortgage , but it’s piece of mind all the same .
 
If you like the certainty of whats going out then the longer term fix would suit. Speaking from when I got my first mortgage in the early 1990s todays rates are not high. I appreciate those who just got on the ladder over the last 10-15 years think mortgage interest rates of under 4% are the norm, they really aren’t. Only you can know what suits you though. Best of luck.
The past about high rates has been debunked a few times. Rates in the 90's had partial interest rate relief and were on much smaller mortgages compared to most peoples incomes and people weren't paying £2.5k energy bills

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The past about high rates has been debunked a few times. Rates in the 90's had partial interest rate relief and were on much smaller mortgages compared to most peoples incomes and people weren't paying £2.5k energy bills

View attachment 45508
But thats just it. People now think todays mortgage rates >6% are high when they are more likely to be the norm. I dont think they will get much higher but I dont think they are dropping anytime soon. This is obviously a personal opinion as none of us really know but when people have to make a choice they ultimately need to decide for themselves and be comfortable with that choice. My initial rate in the 90s was 6.5% and at the time I was happy with that.
 
thanks. Its kind of reassuring there's someone out there who believes just about everything I don't
There is almost certainly going to be a fall in house prices next year due to the new credit crunch, banks withdrawing mortgage deals.
Last time interest rates peaked at 4.75 % in 2008 the economy went into reverse very quickly.
Looks as if history will repeat, although the country's finances are in a much worse state. We had an A plus credit rating back then.
 
The bank of england always talk interest rates up. Its to keep Sterling from depreciating further.
They know full well that uk economy will buckle at 5 % interest rates.
 
But thats just it. People now think todays mortgage rates >6% are high when they are more likely to be the norm. I dont think they will get much higher but I dont think they are dropping anytime soon. This is obviously a personal opinion as none of us really know but when people have to make a choice they ultimately need to decide for themselves and be comfortable with that choice. My initial rate in the 90s was 6.5% and at the time I was happy with that.
Yes but on far smaller /loans
 
I saw something the other day showing the maths on the comparison. Due to the massive rise in house prices Vs wages the 14% rates back then we're equivalent to 3% today.

House price to income ratio back then was about 2.8, today it is about 9.

Today's situation is far worse than the previous generation's.
 
I think house prices are likely to stagnate rather than a dramatic crash mainly due to supply issues remaining.

Then again who knows what Dumb and Dumber will do to the markets next.
 
The past about high rates has been debunked a few times. Rates in the 90's had partial interest rate relief and were on much smaller mortgages compared to most peoples incomes and people weren't paying £2.5k energy bills

View attachment 45508
They maybe a short term reduction. The recent mortgage rate rises have been linked to the money markets where banks secure their funds. They have been significantly larger than the BoE rate

If things get secure and this government can stabilise the £ then rates on offer may come down. That said the BoE are said to be set to raise rates again so they could the bounce back up

The moral is do what’s right for your circumstances and not what you think rates might do.
 
I saw something the other day showing the maths on the comparison. Due to the massive rise in house prices Vs wages the 14% rates back then we're equivalent to 3% today.

House price to income ratio back then was about 2.8, today it is about 9.

Today's situation is far worse than the previous generation's.
3%?No way,my whole salary(about average) went to pay for my mortgage(about average) in 97.We relied on my partner's salary for everything else,6%possibly. Which is about 1800 a month
Also in relation to other post electricity and gas was cheaper but food,clothes, electrical items more expensive.The moral....you always get screwed.

 
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They maybe a short term reduction. The recent mortgage rate rises have been linked to the money markets where banks secure their funds. They have been significantly larger than the BoE rate

If things get secure and this government can stabilise the £ then rates on offer may come down. That said the BoE are said to be set to raise rates again so they could the bounce back up

The moral is do what’s right for your circumstances and not what you think rates might do.
I'm not on about the current rates, I'm in about people comparing them to the 90's and saying they're not that bad now. Peoples mortgages in the 90's were a lot smaller and had much better income to loan size than they do now
 
I'm not on about the current rates, I'm in about people comparing them to the 90's and saying they're not that bad now. Peoples mortgages in the 90's were a lot smaller and had much better income to loan size than they do now
It was more in response to Martin Lewis etc agreeing to extent what he was saying
 
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