falling rates ????

big_bad_dom

Just come to the end of a 4 year deal with Chel and Glos with a rate of boe+0.39. Now i fully expected to pay a bit more in these times. Phoned them up last tuesday -and got offered boe+1.25 . As Mr G brown lent them all this cash i expected the rates to start to fall. Have just checked the website and they are now at boe+1.65 . Am i missing something or are the rates going the wrong way.?

feisty1

mortgage rates are governed by the inter bank rate not the base rates

minimike2

No one said anything about falling rates.

Getting money moving again yes. Not at stupid pricing though.

Think about it......it was stupidly cheap mortgages that got us into the mess in the first place. Why would the government want to encourage that again?

dunstonh

Interest rates are also still below the long term average. So, they are not expensive at the moment.

nabz10

so people who want to re-mortgage on a fix rate should fix as soon as possible ?? or wait do u think if rates might come down again ??

markelock

interest rates might not be particularly high, but house prices are, which makes the £'s you pay back much more.

the government have mentioned several times getting the housing market going again, which I presume would be at current selling prices, and in order to do that, they'll need to make interest rates more attractive.

bailing out banks, who then refuse to lend money on, isn't helping this.

if someone wants to get rates up to 15% again I'll be happy to oblige. House prices should average about £30k too.