The real price of a mortgage: 6.49%

System

No it's obvious, if the base rate is 6% and your mortgage rate is 6.5% then it's cheap. If the base rate is 0.5% and the mortgage rate is 6%, thats expensive.

Mmmnnnnghhhhhhhh.

Graham_Devon

HAMISH_MCTAVISH wrote: »

Oh good.

Perhaps now we can put to bed that silly bear meme claiming affordability for FTB's is down to record low interest rates.:rolleyes:

Bears claim there is no affordability.

Not that there is.

You silly boy Hamish.

purch

Chucky, even Libor is at 0.62%

Any particular LIBOR ??

Are you a participant in the London Interbank market ?

Graham_Devon

purch wrote: »

Any particular LIBOR ??

Are you a participant in the London Interbank market ?

Are things going to get more and more anal when the bulls are having a hard time of proving a point?

Look, base rate, 0.5%, mortgage rate, 6.49%.

I spy with my little eye, something beginning with "pretty big difference".

I also see lots of bluff and bluster trying to demonstrate this is not expensive and take the point away from the fact that, historically, based on the fundamentals, this is expensive.

I really couldnt give two hoots about all this other nonsense. It's a big difference. End of.

purch

I take it you have been asleep, or not paying much attention during the last 18 months.

P.S. I love it when I get called a Bull :rotfl:

based on the fundamentals, this is expensive.

P.P.S. What Fundamentals ???

The Fundamentals on the wholesale credit markets are dire. I think we should be happy that they are lending any money at all, rather than whinging about the rate !!!!

mewbie_2

Graham_Devon wrote: »

Are things going to get more and more anal when the bulls are having a hard time of proving a point?

It seems to get worse all the time. Or maybe I just notice more now I 'know' everyone.

In what way do you mean anal? Can you describe it using at least 200 hundred words and with several references to world authorities? Do you in fact mean bottom, or rear - or are you referring to the groinal area having hopelessly confused something or other.

I put it to you Graham - that you are not the worlds leading proctologist and therefore every fact you have claimed must now be wrong.

And so on. For ever.

Graham_Devon

purch wrote: »

P.P.S. What Fundamentals ???

It's like a never ending spiral of questions.

The most simple of phrases get's turned into world war 2, while posters try to claim the morale high ground, while STILL taking no notice of the most basic of points.

Basic point:
Base rate 0.5%, Libor rate 0.62%, Mortgage rate 6.49%.

Bull point:
15% rates two decades ago, this isn't high. London Interbank b*llocks. Which Libor exactly? Northern Rock. House prices only ever go up. Everyone can afford a house, it's like 3x a bank managers wage now. Lack of supply keeps house prices up, lack of supply leads to house prices dropping, lack of supply leads to stagnation, lack of supply is positive, lack of suply is negative, too much supply also means all the above, the right amount of supply means rocketing HPI. Rightmove lists houses 16 times. My brothers sisters aunts nephews fiance knows someone who got a product your saying the average person can't get, so you are wrong. It's all the fault of the US. The UK's houses were never expensive. Gordon Browns ring is squeaky clean....trust me, I know.

nearlynew

I see the "I don't care about the price, what is my first monthly payment" brigade are out in force tonight.


Brilliant.

purch

Basic point:
Base rate 0.5%, Libor rate 0.62%, Mortgage rate 6.49%.

Graham.

Do you understand how the events over the past 18 months have affected the credit markets, and how that has impacted on the Mortgage market ??

Instead of getting into silly arguments, and throwing your toys out of the pram every time your lack of even the most basic knowledge is exposed, maybe you should pay a little more attention.

Then you might understand why the Base Rate is 1/2 % and the Mortgage Rate is 6 1/2 %.

chucky

Graham_Devon wrote: »

Are things going to get more and more anal when the bulls are having a hard time of proving a point?

Look, base rate, 0.5%, mortgage rate, 6.49%.

I spy with my little eye, something beginning with "pretty big difference".

I also see lots of bluff and bluster trying to demonstrate this is not expensive and take the point away from the fact that, historically, based on the fundamentals, this is expensive.

I really couldnt give two hoots about all this other nonsense. It's a big difference. End of.

you really are hard work!!! :rolleyes:
things have to be explained about 15 times before it finally sinks in

it's been explained to you here - the BOE rate has very little to do with it
http://forums.moneysavingexpert.com/showpost.html?p=25098765&postcount=19