Mortgage Rates going UP, UP, UP

GracieP

lostinrates wrote: »

You know, I feel I'm losing out. Maybe its because its a nice day and I've enjoyed doing some gardening in my parent's garden, and thinking about things I'd like to be growing,watering the baby trees I've grown and are in pots waiting for their new home and cursing the silly little path and fence that's habouring the bindweed that if it were mine I'd pull out . Or because I've stubbed my toe on the bed again in our bedroom stuffed over full of furniture.

When I STR'd I thought a lot about the emotional side of renting after owning and made sure to rent someplace that would limit the negatives. I rented unfurnished as having my own furniture makes the house feel more like mine. And I chose a property in an area I really like so that the urge to buy is mitigated by the fact that I could in no way afford to live somewhere so lovely if I bought now. I also chose a property which is too small for me long term, so I don't feel too big a wrench when I move.

I treat the garden as if it mine, I tend the existing plants, I've aggressively pruned the tree which was so overgrown it was starting to kill itself. I have chosen plants for the borders which I can dig up and transfer when the time comes.

Yes I'd like to get rid of the carpet, especially as I'm a dog owner. The 1940's fireplaces downstairs would have lasted 6 weeks if this was my house and I'd like to change the direction the door in the living-room is hung from. But it's a small price to pay for being able to buy a house I like, in an area I like, for a price I can afford. I can see so many of my friends trapped in unsuitable long-term properties, so for me, having the freedom I have outweighs the negatives of renting.

Dithering_Dad

LittleMissAspie wrote: »

It's still better to wait because you will need to borrow less. Interest rates are up and down like a yoyo over the whole term of a mortgage. Someone buying now when rates are low will face higher rates later, and someone buying later when rates are higher will face lower rates later on too. It all equals out. The price you pay for the house is what matters.

Exactly, and the greater part of that is not the few quid you may negotiate off the buying prices, but the thousands the mortgage providers add in interest payments.

Everyone just needs to do the calculations to check that what they think they will get discounted off the buying price will be more than what they think their mortgage repayments will be over the term of their mortgage.

Remember also that people on average move house every 7 years. I bought towards the end of the last HPC in 1995 and would have obviously got a bargain compared with someone who bought in 1991. However, when that person moved up the ladder in 1998 he would have got a much better bargain than I did when I moved in 2002.

What you gain on the swings, you lose on the roundabouts.

lostinrates

Dithering_Dad wrote: »

Remember also that people on average move house every 7 years. .

Ultimately, regardless of cost, thats what this HP fall/crash has seen could be different for us if we stick to our guns: we could buy somewhere we don't need/want to leave. Thats a lot different to the sort of property I was looking at on return from Italy. I'd rather pay more now, for somewhere right, somewhere we can do wht we really ant to do in terms of building and business, than buy with small/no mortgage or buying quickly something good/ok to fix at this rate and know that we will still be planning yet another move: its jut another sort of temporary really.