Get ready for rates to rocket

nearlynew

duck wrote: »

The Recession has reached its lower limit therefor banks have and will remove the lower interest rates and deals for home buyers.
Quote :
Halifax, Britain’s biggest provider, said last week that house prices rose +2.6% in May to an average £158,565 — their fastest rate for seven years. Nationwide’s index had prices up +1.2% in the same month.
It is the first time both indexes have risen together since August 2007.
The housing market as well as the stock market are on there way up.

Everything is improving, and about time....

Yet another poster that thinks higher lending and higher house prices are a good thing.

As if having a larger mortgage makes you richer.

I can't understand why people beleive this sh1te

Dan:_4

nearlynew wrote: »

Yet another poster that thinks higher lending and higher house prices are a good thing.

As if having a larger mortgage makes you richer.

I can't understand why people beleive this sh1te

I guess it makes you 'feel' richer when your house is worth more then what you paid.

nearlynew

Dan: wrote: »

I guess it makes you 'feel' richer when your house is worth more then what you paid.

Yeah, you would :rolleyes:

Really2

Fella wrote: »

Don't really understand your post but I thought mine was pretty clear - i.e. that rates will rise & house prices will fall a lot faster when they do.

Well fror rates to rise we have to be in recovery. For BOE base to go over 5% we virtualy have to be in boom/hpi teritory.

confused31_2

Really2 wrote: »

Well fror rates to rise we have to be in recovery. For BOE base to go over 5% we virtualy have to be in boom/hpi teritory.

i personally think the boe interest rates will be at least 5% within 2 years, i dont think this is a high amount but it is if someone is on a tracker of +2.5%, it will make a lot of difference to these people.

If interest rates rocketed to 15% then everyone would be in the !!!!!!, but i think even if they normalise to about 5% people will still be in a mess, and this will force house prices down and there will be a lot of forced sales.

Good luck everyone, like i said earlier i dont think it will need interest rates to rocket for people to be in a mess, i think they just need to go back to the average rate which has been bwtween 5 and 6% since 1993.

here are the rates back to 1975, 5 % seems good when you look at the other years, we have been below 4.5% since 0ctober.

Statistical Interactive Database -
official Bank Rate history
Current official Bank Rate 0.5%
Output
Options Date Changed Rate Thu, 05 Mar 2009 .50 Thu, 05 Feb 2009 1.00 Thu, 08 Jan 2009 1.50 Thu, 04 Dec 2008 2.00 Thu, 06 Nov 2008 3.00 Wed, 08 Oct 2008 4.50 Thu, 10 Apr 2008 5.00 Thu, 07 Feb 2008 5.25 Thu, 06 Dec 2007 5.50 Thu, 05 Jul 2007 5.75 Thu, 10 May 2007 5.50 Thu, 11 Jan 2007 5.25 Thu, 09 Nov 2006 5.00 Thu, 03 Aug 2006 4.75 Thu, 04 Aug 2005 4.50 Thu, 05 Aug 2004 4.75 Thu, 10 Jun 2004 4.50 Thu, 06 May 2004 4.25 Thu, 05 Feb 2004 4.00 Thu, 06 Nov 2003 3.75 Thu, 10 Jul 2003 3.50 Thu, 06 Feb 2003 3.75 Thu, 08 Nov 2001 4.00 Thu, 04 Oct 2001 4.50 Tue, 18 Sep 2001 4.75 Thu, 02 Aug 2001 5.00 Thu, 10 May 2001 5.25 Thu, 05 Apr 2001 5.50 Thu, 08 Feb 2001 5.75 Thu, 10 Feb 2000 6.00 Thu, 13 Jan 2000 5.75 Thu, 04 Nov 1999 5.50 Wed, 08 Sep 1999 5.25 Thu, 10 Jun 1999 5.00 Thu, 08 Apr 1999 5.25 Thu, 04 Feb 1999 5.50 Thu, 07 Jan 1999 6.00 Thu, 10 Dec 1998 6.25 Thu, 05 Nov 1998 6.75 Thu, 08 Oct 1998 7.25 Thu, 04 Jun 1998 7.50 Thu, 06 Nov 1997 7.25 Thu, 07 Aug 1997 7.00 Thu, 10 Jul 1997 6.75 Fri, 06 Jun 1997 6.50 Tue, 06 May 1997 6.25 Wed, 30 Oct 1996 5.94 Thu, 06 Jun 1996 5.69 Fri, 08 Mar 1996 5.94 Thu, 18 Jan 1996 6.13 Wed, 13 Dec 1995 6.38 Thu, 02 Feb 1995 6.63 Wed, 07 Dec 1994 6.13 Mon, 12 Sep 1994 5.63 Tue, 08 Feb 1994 5.13 Tue, 23 Nov 1993 5.38 Tue, 26 Jan 1993 5.88 Fri, 13 Nov 1992 6.88 Fri, 16 Oct 1992 7.88 Tue, 22 Sep 1992 8.88 Tue, 05 May 1992 9.88 Wed, 04 Sep 1991 10.38 Fri, 12 Jul 1991 10.88 Fri, 24 May 1991 11.38 Fri, 12 Apr 1991 11.88 Fri, 22 Mar 1991 12.38 Wed, 27 Feb 1991 12.88 Wed, 13 Feb 1991 13.38 Mon, 08 Oct 1990 13.88 Fri, 06 Oct 1989 14.88 Fri, 08 Sep 1989 13.75 Mon, 04 Sep 1989 13.88 Thu, 31 Aug 1989 13.84 Thu, 25 May 1989 13.75 Fri, 25 Nov 1988 12.88 Thu, 25 Aug 1988 11.88 Mon, 08 Aug 1988 10.88 Thu, 21 Jul 1988 10.38 Thu, 07 Jul 1988 9.88 Fri, 24 Jun 1988 8.88 Fri, 10 Jun 1988 8.38 Fri, 03 Jun 1988 7.88 Tue, 17 May 1988 7.38 Fri, 08 Apr 1988 7.88 Thu, 17 Mar 1988 8.38 Mon, 01 Feb 1988 8.88 Thu, 03 Dec 1987 8.38 Wed, 04 Nov 1987 8.88 Fri, 23 Oct 1987 9.38 Thu, 06 Aug 1987 9.88 Fri, 08 May 1987 8.88 Tue, 28 Apr 1987 9.38 Wed, 18 Mar 1987 9.88 Mon, 09 Mar 1987 10.38 Wed, 15 Oct 1986 10.88 Fri, 23 May 1986 9.88 Fri, 18 Apr 1986 10.38 Fri, 11 Apr 1986 10.88 Wed, 19 Mar 1986 11.38 Wed, 15 Jan 1986 12.38 Fri, 26 Jul 1985 11.38 Thu, 11 Jul 1985 11.88 Fri, 19 Apr 1985 12.38 Thu, 28 Mar 1985 12.88 Wed, 20 Mar 1985 13.38 Mon, 28 Jan 1985 13.88 Mon, 14 Jan 1985 11.88 Fri, 23 Nov 1984 9.50 Mon, 19 Nov 1984 9.75 Mon, 05 Nov 1984 10.00 Fri, 17 Aug 1984 10.50 Thu, 16 Aug 1984 10.75 Thu, 09 Aug 1984 11.00 Wed, 08 Aug 1984 11.50 Wed, 11 Jul 1984 12.00 Fri, 06 Jul 1984 10.00 Fri, 29 Jun 1984 8.88 Thu, 10 May 1984 9.06 Thu, 22 Mar 1984 8.56 Wed, 21 Mar 1984 8.05 Wed, 14 Mar 1984 8.56 Wed, 07 Mar 1984 8.81 Mon, 03 Oct 1983 9.06 Wed, 10 Aug 1983 9.56 Tue, 09 Aug 1983 9.44 Tue, 14 Jun 1983 9.56 Mon, 13 Jun 1983 9.81 Thu, 14 Apr 1983 10.06 Wed, 13 Apr 1983 10.31 Tue, 15 Mar 1983 10.56 Wed, 12 Jan 1983 11.00 Fri, 26 Nov 1982 10.00 Tue, 02 Nov 1982 9.13 Mon, 01 Nov 1982 9.38 Tue, 12 Oct 1982 9.63 Thu, 30 Sep 1982 10.13 Wed, 29 Sep 1982 10.25 Tue, 28 Sep 1982 10.38 Mon, 27 Sep 1982 10.50 Fri, 27 Aug 1982 10.63 Thu, 26 Aug 1982 10.88 Wed, 25 Aug 1982 11.00 Tue, 24 Aug 1982 11.13 Tue, 17 Aug 1982 11.25 Mon, 16 Aug 1982 11.38 Wed, 04 Aug 1982 11.50 Mon, 02 Aug 1982 11.56 Fri, 30 Jul 1982 11.63 Thu, 29 Jul 1982 11.75 Wed, 28 Jul 1982 11.81 Mon, 26 Jul 1982 11.94 Wed, 21 Jul 1982 12.06 Tue, 13 Jul 1982 12.13 Mon, 12 Jul 1982 12.25 Fri, 09 Jul 1982 12.50 Tue, 08 Jun 1982 12.63 Tue, 20 Apr 1982 13.13 Mon, 19 Apr 1982 13.00 Fri, 16 Apr 1982 13.13 Wed, 10 Mar 1982 13.25 Thu, 25 Feb 1982 13.63 Mon, 22 Feb 1982 13.81 Fri, 22 Jan 1982 13.88 Thu, 21 Jan 1982 14.00 Wed, 20 Jan 1982 14.13 Tue, 19 Jan 1982 14.25 Mon, 18 Jan 1982 14.31 Fri, 04 Dec 1981 14.38 Wed, 25 Nov 1981 14.56 Mon, 09 Nov 1981 14.63 Fri, 06 Nov 1981 15.06 Wed, 28 Oct 1981 15.13 Mon, 12 Oct 1981 15.00 Tue, 15 Sep 1981 14.00 Tue, 25 Aug 1981 12.69 Wed, 11 Mar 1981 12.00 Tue, 25 Nov 1980 14.00 Thu, 03 Jul 1980 16.00 Thu, 15 Nov 1979 17.00 Wed, 13 Jun 1979 14.00 Thu, 05 Apr 1979 12.00 Thu, 01 Mar 1979 13.00 Thu, 08 Feb 1979 14.00 Thu, 09 Nov 1978 12.50 Thu, 08 Jun 1978 10.00 Mon, 15 May 1978 9.00 Mon, 08 May 1978 8.75 Wed, 12 Apr 1978 7.50 Mon, 09 Jan 1978 6.50 Mon, 28 Nov 1977 7.00 Mon, 17 Oct 1977 5.00 Mon, 10 Oct 1977 5.50 Mon, 19 Sep 1977 6.00 Mon, 12 Sep 1977 6.50 Mon, 15 Aug 1977 7.00 Mon, 08 Aug 1977 7.50 Mon, 16 May 1977 8.00 Mon, 02 May 1977 8.25 Mon, 25 Apr 1977 8.75 Mon, 18 Apr 1977 9.00 Tue, 12 Apr 1977 9.25 Thu, 31 Mar 1977 9.50 Mon, 21 Mar 1977 10.50 Thu, 10 Mar 1977 11.00 Thu, 03 Feb 1977 12.00 Mon, 31 Jan 1977 12.25 Mon, 24 Jan 1977 13.25 Mon, 10 Jan 1977 14.00 Wed, 29 Dec 1976 14.25 Mon, 20 Dec 1976 14.50 Mon, 22 Nov 1976 14.75 Thu, 07 Oct 1976 15.00 Mon, 13 Sep 1976 13.00 Mon, 24 May 1976 11.50 Mon, 26 Apr 1976 10.50 Mon, 08 Mar 1976 9.00 Mon, 01 Mar 1976 9.25 Mon, 09 Feb 1976 9.50 Mon, 02 Feb 1976 10.00 Mon, 26 Jan 1976 10.50 Mon, 19 Jan 1976 10.75 Mon, 05 Jan 1976 11.00 Mon, 29 Dec 1975 11.25 Mon, 01 Dec 1975 11.50 Mon, 17 Nov 1975 11.75 Mon, 06 Oct 1975 12.00 Mon, 28 Jul 1975 11.00 Mon, 05 May 1975 10.00 Mon, 21 Apr 1975 9.75 Mon, 24 Mar 1975 10.00 Mon, 10 Mar 1975 10.25 Mon, 17 Feb 1975 10.50 Mon, 10 Feb 1975 10.75 Mon, 27 Jan 1975 11.00 Mon, 20 Jan 1975 11.25

chucky

confused31 wrote: »

i personally think the boe interest rates will be at least 5% within 2 years, i dont think this is a high amount but it is if someone is on a tracker of +2.5%, it will make a lot of difference to these people.

i tend to agree but if rates shot up you would switch to the SVR or remortgage to a better rate. i know they may incur a charge but you would be able to reduce mortgage repayments from the BR +2.5% trackers.

a remortgage is unlikely if you're in negative equity but if you bought now on these +2.5% trackers you would have had at least 25% equity there as there the only people able to get mortgages, so wouldn't be a problem.

your rates look a mess by the way
historical average base rate is just under 7% for the last 15 years

confused31_2

Really2 wrote: »

Well fror rates to rise we have to be in recovery. For BOE base to go over 5% we virtualy have to be in boom/hpi teritory.

interest rates do not go up in the boom time, when we was in a recession in the 1990's rates were nearly 15%:eek:

confused31_2

chucky wrote: »

your rates look a mess by the way

i know they do:D

Gorgeous_George

Try this

5 Mar 2009..........0.50
5 Feb 2009..........1.00
8 Jan 2009..........1.50
4 Dec 2008..........2.00
6 Nov 2008..........3.00
8 Oct 2008..........4.50
10 Apr 2008..........5.00
7 Feb 2008..........5.25
6 Dec 2007..........5.50
5 Jul 2007..........5.75
10 May 2007..........5.50
11 Jan 2007..........5.25
9 Nov 2006..........5.00
3 Aug 2006..........4.75
4 Aug 2005..........4.50
5 Aug 2004..........4.75
10 Jun 2004..........4.50
6 May 2004..........4.25
5 Feb 2004..........4.00
6 Nov 2003..........3.75
10 Jul 2003..........3.50
6 Feb 2003..........3.75
8 Nov 2001..........4.00
4 Oct 2001..........4.50
18 Sep 2001..........4.75
2 Aug 2001..........5.00
10 May 2001..........5.25
5 Apr 2001..........5.50
8 Feb 2001..........5.75
10 Feb 2000..........6.00
13 Jan 2000..........5.75
4 Nov 1999..........5.50
8 Sep 1999..........5.25
10 Jun 1999..........5.00
8 Apr 1999..........5.25
4 Feb 1999..........5.50
7 Jan 1999..........6.00
10 Dec 1998..........6.25
5 Nov 1998..........6.75
8 Oct 1998..........7.25
4 Jun 1998..........7.50
6 Nov 1997..........7.25
7 Aug 1997..........7.00
10 Jul 1997..........6.75
6 Jun 1997..........6.50
6 May 1997..........6.25
30 Oct 1996..........5.94
6 Jun 1996..........5.69
8 Mar 1996..........5.94
18 Jan 1996..........6.13
13 Dec 1995..........6.38
2 Feb 1995..........6.63
7 Dec 1994..........6.13
12 Sep 1994..........5.63
8 Feb 1994..........5.13
23 Nov 1993..........5.38
26 Jan 1993..........5.88
13 Nov 1992..........6.88
16 Oct 1992..........7.88
22 Sep 1992..........8.88
5 May 1992..........9.88
4 Sep 1991..........10.38
12 Jul 1991..........10.88
24 May 1991..........11.38
12 Apr 1991..........11.88
22 Mar 1991..........12.38
27 Feb 1991..........12.88
13 Feb 1991..........13.38
8 Oct 1990..........13.88
6 Oct 1989..........14.88
8 Sep 1989..........13.75
4 Sep 1989..........13.88
31 Aug 1989..........13.84
25 May 1989..........13.75
25 Nov 1988..........12.88
25 Aug 1988..........11.88
8 Aug 1988..........10.88
21 Jul 1988..........10.38
7 Jul 1988..........9.88
24 Jun 1988..........8.88
10 Jun 1988..........8.38
3 Jun 1988..........7.88
17 May 1988..........7.38
8 Apr 1988..........7.88
17 Mar 1988..........8.38
1 Feb 1988..........8.88
3 Dec 1987..........8.38
4 Nov 1987..........8.88
23 Oct 1987..........9.38
6 Aug 1987..........9.88
8 May 1987..........8.88
28 Apr 1987..........9.38
18 Mar 1987..........9.88
9 Mar 1987..........10.38
15 Oct 1986..........10.88
23 May 1986..........9.88
18 Apr 1986..........10.38
11 Apr 1986..........10.88
19 Mar 1986..........11.38
15 Jan 1986..........12.38
26 Jul 1985..........11.38
11 Jul 1985..........11.88
19 Apr 1985..........12.38
28 Mar 1985..........12.88
20 Mar 1985..........13.38
28 Jan 1985..........13.88
14 Jan 1985..........11.88
23 Nov 1984..........9.50
19 Nov 1984..........9.75
5 Nov 1984..........10.00
17 Aug 1984..........10.50
16 Aug 1984..........10.75
9 Aug 1984..........11.00
8 Aug 1984..........11.50
11 Jul 1984..........12.00
6 Jul 1984..........10.00
29 Jun 1984..........8.88
10 May 1984..........9.06
22 Mar 1984..........8.56
21 Mar 1984..........8.05
14 Mar 1984..........8.56
7 Mar 1984..........8.81
3 Oct 1983..........9.06
10 Aug 1983..........9.56
9 Aug 1983..........9.44
14 Jun 1983..........9.56
13 Jun 1983..........9.81
14 Apr 1983..........10.06
13 Apr 1983..........10.31
15 Mar 1983..........10.56
12 Jan 1983..........11.00
26 Nov 1982..........10.00
2 Nov 1982..........9.13
1 Nov 1982..........9.38
12 Oct 1982..........9.63
30 Sep 1982..........10.13
29 Sep 1982..........10.25
28 Sep 1982..........10.38
27 Sep 1982..........10.50
27 Aug 1982..........10.63
26 Aug 1982..........10.88
25 Aug 1982..........11.00
24 Aug 1982..........11.13
17 Aug 1982..........11.25
16 Aug 1982..........11.38
4 Aug 1982..........11.50
2 Aug 1982..........11.56
30 Jul 1982..........11.63
29 Jul 1982..........11.75
28 Jul 1982..........11.81
26 Jul 1982..........11.94
21 Jul 1982..........12.06
13 Jul 1982..........12.13
12 Jul 1982..........12.25
9 Jul 1982..........12.50
8 Jun 1982..........12.63
20 Apr 1982..........13.13
19 Apr 1982..........13.00
16 Apr 1982..........13.13
10 Mar 1982..........13.25
25 Feb 1982..........13.63
22 Feb 1982..........13.81
22 Jan 1982..........13.88
21 Jan 1982..........14.00
20 Jan 1982..........14.13
19 Jan 1982..........14.25
18 Jan 1982..........14.31
4 Dec 1981..........14.38
25 Nov 1981..........14.56
9 Nov 1981..........14.63
6 Nov 1981..........15.06
28 Oct 1981..........15.13
12 Oct 1981..........15.00
15 Sep 1981..........14.00
25 Aug 1981..........12.69
11 Mar 1981..........12.00
25 Nov 1980..........14.00
3 Jul 1980..........16.00
15 Nov 1979..........17.00
13 Jun 1979..........14.00
5 Apr 1979..........12.00
1 Mar 1979..........13.00
8 Feb 1979..........14.00
9 Nov 1978..........12.50
8 Jun 1978..........10.00
15 May 1978..........9.00
8 May 1978..........8.75
12 Apr 1978..........7.50
9 Jan 1978..........6.50
28 Nov 1977..........7.00
17 Oct 1977..........5.00
10 Oct 1977..........5.50
19 Sep 1977..........6.00
12 Sep 1977..........6.50
15 Aug 1977..........7.00
8 Aug 1977..........7.50
16 May 1977..........8.00
2 May 1977..........8.25
25 Apr 1977..........8.75
18 Apr 1977..........9.00
12 Apr 1977..........9.25
31 Mar 1977..........9.50
21 Mar 1977..........10.50
10 Mar 1977..........11.00
3 Feb 1977..........12.00
31 Jan 1977..........12.25
24 Jan 1977..........13.25
10 Jan 1977..........14.00
29 Dec 1976..........14.25
20 Dec 1976..........14.50
22 Nov 1976..........14.75
7 Oct 1976..........15.00
13 Sep 1976..........13.00
24 May 1976..........11.50
26 Apr 1976..........10.50
8 Mar 1976..........9.00
1 Mar 1976..........9.25
9 Feb 1976..........9.50
2 Feb 1976..........10.00
26 Jan 1976..........10.50
19 Jan 1976..........10.75
5 Jan 1976..........11.00
29 Dec 1975..........11.25
1 Dec 1975..........11.50
17 Nov 1975..........11.75
6 Oct 1975..........12.00
28 Jul 1975..........11.00
5 May 1975..........10.00
21 Apr 1975..........9.75
24 Mar 1975..........10.00
10 Mar 1975..........10.25
17 Feb 1975..........10.50
10 Feb 1975..........10.75
27 Jan 1975..........11.00
20 Jan 1975..........11.25



GG

Fella

Really2 wrote: »

Well fror rates to rise we have to be in recovery.

Simply not true I'm afraid.

Really2 wrote: »

For BOE base to go over 5% we virtualy have to be in boom/hpi teritory.

Easy to forget but the MPC's remit is to control inflation, not regulate house prices.



Although to be honest, this is more analysis than is necessary. IRs are ultra-low for the simple reason that Brown desperately needs them to be so - it's his last-gasp attempt to prevent the housing bubble deflating completely before election day - & taking his few remaining voters with it.

Once the election has been held that reason will no longer exist.