Interest rates to rise - Mervyn King

inspector_monkfish

Bit of a mis-leading headline.

Should be "King states the bleedin-obvious, that one day rates will go up"
(but he personally has no idea when, just that it won't be anytime soon)

Blacklight

StevieJ wrote: »

There were times when many would have prayed for mortgage rates at that level

Fixed rates two years ago were commonly 6%+. Anyone on a fixed rate looking for another deal now would be delighted with 4.29%.

Degenerate

StevieJ wrote: »

What is point of this post or indeed that article? it doesn't actually mean anything.

Yep, It's just Merv saying he'll carry on doing his job.

Really2

sarkin1 wrote: »

LOL

thats right they are all tied to thier deals so either they pay the reds and dump the deal or wait till its free to leave at which point rates will be even further away. Then what do you do stay on the tracker because it is still cheaper than the fix in current market. The time to fix is yesterday not after merv drops the hammer.

Mmm I seem to remember going from 5.49 fixed to .49 lifetime tracker in Sept 08.

I think I could get a 3.99 5 year fix today if I wanted to.

There are usually no exit fees on trackers, you seem to not know much about mortgages.

PS I said fix when rates look like they are going to go up, that is still months away yet, and even when they do many good fixes will still be around.

petebates26

I'm not sure of the point of the article - I didn't write it! The point of the post was to draw your attention to the article for debate.....thought that was the point of this board?

I'd apologise for wasting your time, but you all seem to be enjoying yourselves, so......carry on!

bendix

I think what people are ignoring is the impact those people who overextended on mortgages with rates at current low levels, who will be in severe trouble if rates go even to the historically low level of 2% (plus retail margin).

Don't underestimate the impact of these people - more defaults WILL happen and that will have an overflow impact on house prices generally, even for those people who aren't leveraged to such extreme levels and can afford rates to hit 10%.

inspector_monkfish

petebates26 wrote: »

I'm not sure of the point of the article - I didn't write it! The point of the post was to draw your attention to the article for debate.....thought that was the point of this board?

I'd apologise for wasting your time, but you all seem to be enjoying yourselves, so......carry on!

no need to apologise master :cool:

Yakubu22

a 2% rise for FTBs will be massive. Given that you need 25% deposit just to hit somewhere around 5% (which is scandalous when the base rate is 0.5%).
On that basis with a 2% rise, a FTB would need 25% just to afford a 7% mortgage repayment rate. God knows how high it would be for a 10-15% deposit.

sarkin1

Really2 wrote: »

Mmm I seem to remember going from 5.49 fixed to .49 lifetime tracker in Sept 08.

I think I could get a 3.99 5 year fix today if I wanted to.

There are usually no exit fees on trackers, you seem to not know much about mortgages.

PS I said fix when rates look like they are going to go up, that is still months away yet, and even when they do many good fixes will still be around.

Haha you knob

when you sign a deal you will be tied in there are very few with no erc.

We are talking about 2 years time so everyone who jumped on a tracker deal into 2009 onwards will be tied in they are base +2.29%

the reason you got such a good deal, is the country is screwed big time, which you fail to realise. You have been rewarded for being in debt.

Unless of course you can provide us to a link where you stated that you took a BBR tracker as the government are about to start QE

chucknorris

mbga9pgf wrote: »

Yep its idots like this that will protect me with my base +2% lifetime tracker.


Greedy BTLers like the wilsons wont be though

My BTL mortgages are all lifetime trackers at 0.38% (1) and 0.68% (4) over BOE base rate