Yikes - will interest rates stay low

Mortgage_Help_4

4.99% is a good fixed rate for this term. PLEASE PLEASE PLEASE Don't trust this government or the Bank Of England (who have no power these days!) Rates won't go up more than 2% over the next 12 months but rates are the lowest in terms of Bank Base Rate and Standard Variable Rates that they will reach. I think rates will go up within 6 months by around 0.25% in either Dec 09 or Jan 2010 and possibly 0.5% within 6 months of Dec 09 so a total rise over the next 9 months of 0.5% but hey nobody knows but please do not trust these people running this country (into the ground!). Why would you trust what Sky News etc say as when it goes wrong again it will be someone else to blame like some other country. Lets all wake up and smell the coffee and stop the media trying to brain wash us. I hope they are right but watch this space!!!:rolleyes:

Cannon_Fodder

The Chancellor says "2011 growth will be fine and dandy".
The BoE and others say "long period of low rates".

One of them is wrong. Perhaps both of them. It will probably be somewhere in between.

Analysts are already saying the 1.1% CPI of this month is close to the bottom of the trough, and petrol has risen since January, Food inflation is running at around 4% and gas/electricity rises are predicted...

Other countries can generate commodity inflation during their recovery even if the UK does stagnate, so rates will probably have to rise irrespective of our growth levels, perhaps inside a year, pretty certainly within two years.

So, I agree that the fixed rate for 7 years is excellent, and in 18 months you will look back on this thread as needless worrying. Enjoy.

Mortgage_Help_4

Thanks for the reminder and I have added the signature, Thanks

nesssie1702

Hmm - I think things will start moving after the General Election next year and that there will be an upward trend after that. The bubble's going to burst at some stage.

My dilemma is that I've got 14 years left on a mortgage of £70K with the house valued at c.£130K. My fixed rate (reypayment) with Nationwide came to an end in June and I've reverted onto their BMR of 2.5%. Looking to fix again for another 5 years, but not found the product I'm looking for yet!

Can I ask the OP where they got the deal of 4.99% fixed for 7 years?

Kavanne

Mortgage_Help wrote: »

Thanks for the reminder and I have added the signature, Thanks

You've not added the whole disclaimer.

Gorgeous_George

I imagine rates may rise if the Tories win the election - regardless of its impact on the normal working family. Under Labour guidance, rates may well stay low until the election after that as Gordon Brown battles the World economic crisis.

As much as I'd like to think that Cameron would be different to previous Tory leaders, I just don't believe it will happen.

GG

black_taxi_2

4.99 is very good fixed

historic ave rates well above that

1963/65

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6%
1965/69

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7%
1969/70

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8%
1970/72

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7.5%
1972/77

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9%
1977/83

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15%(yearly 1% climb)
1983/84

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12%
1984/89

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9%(yearly 1% drop)
1989/90

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10%
1990/94

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6%(yearly 1% drop)
1994/01

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7%
2001/04

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4%
2004/07

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6.5%
2008/09

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5%

black_taxi_2

heres 5.49%

10 years

http://www.fsa.gov.uk/tables/table/results_frameset.jsp

black_taxi_2

sorry that graph doesnt work

http://www.fsa.gov.uk/tables/bespoke/Mortgages

britania

black_taxi_2

http://www.britannia.co.uk/home/_site/channels/mortgage/products/long-term-fixed-rates.html