On a personal level, has the recession effected you?

Generali

SteveV2 wrote: »

Gone from 6.50% to 1.25%. That's £330 month interest to £30.

The maths don't work.

6.5% to 1.25% drop in interest rate is a drop of 81%.

Drop in interest from £330 to £30 is a fall of 91%.

Either your bank has made an error in your favour or you've got it wrong.

I'm glad you're doing well in tough times.

michaels

If you are anywhere near Hertfordshire and would like to quote on an extension?

SteveV2 wrote: »

I too am in the construction industry. Bricklayer in fact. Wages are about 30% down from peak but we have put in more hours to make the money to where it should be

The mortgage is where we have done best. Gone from 6.50% to 1.25%. That's £330 month interest to £30. Kept the payments the same and it wiped off alot of the term. Back in July 08 we had 17.4 years to go. We now have 9.11 years. Official years anyhow.

Not got a clue what the house we live in is worth. We bought it, extended it and renovated it but never got it valued once finsihed.

My only concern atm is the work is drying up! The only houses we have built are the HA ones. Only about 10 or so private houses in 2 years. The TW site we work on have just put prices up too so the site will probably close within the next 12 months. Shame, it's only 6 miles from home. Can see me travelling alot further to find work so the fuel bill will get much bigger.

LilacPixie

Mortgage is lower than it was but as its a small mortgage the reduction was only £103 so I just kept payments the same
Baby arrived summer 2008 with another coming early 2011
OH did not get a pay rise in 2008 or 09, 2.3% in 2010
I got a 2% rise in 08 and 09 an a 2.9% rise in 2010
Fuel costs through the roof, utilities plus petrol and diesel
Food is about £100pm more expensive now than in 2008 not considering in 2008 i had 2 in nappies and now I have 1 in night nappies only
I became ill so had to reduce hours and income
child benefit is frozen and if means tested we won't get it
I get a small amount of DLA which could possibly be under threat
Because of my illness our home is no longer suitable for us in the medium to long term, we are struggling to sell and 3 possible buyers have failed to find the deposits required by their chosen lender.
My job is safeish at the moment but it's private sector accounts/payroll so if our clients go to the wall we have no work.
OH job is catering/hospitality sector and as people have less income they go out less which will have a knock on effect to his employer.

Overall we are losing out in a major way, we have less disposable income, the two 'benefits' we get as a family are under threat. We will get another mortgage but I am more uncomfortable with higher salary multiples as I worry that my health deteriorates or OH loses his job and we would struggle to pay the mortgage on a bigger home.

Prudent

SingleSue wrote: »

Personally, food has become more expensive so I rely on the reduced almost out of date foods an awful lot more than I used to...it's now become a game for me and the boys to see who can find the best deal of the day when we go shopping.

Diesel is so much more expensive, so no lazy drives out into the country on a rainy day to keep the boys occupied, now we only do essential car trips.

Heating is more expensive so is more rationed than it used to be, throws and quilts downstairs make up the difference as do extra jumpers.
.

I agree, These are the main three economies I have been making.

Main impacts have been:

These rising costs.

Wage frozen from this year for two years.

Poor performance from savings (Like PN, I so wish I understood investment more!).

Worried about the goal posts being moved on final salary pension.

House dipped about £10K from peak - although not worried as I don't plan to sell.

Plus sides -

Private pension doing well (started 2008)

My frugal lifestyle is less unusual and more respected.

fc123

I just looked up 'Serendipity' but the definition isn't the same as the one I believed it to be....that is good fortune coming from mis fortune.

The recession tipped us out of our comfort zone and, from being 'well -respected' niche indie retailers for 2 decades, we entered the world of High St retailing....I call it battery fashion but don't mean to be negative about it.....it's just where the customer base seems to be nowadays.
Including concessions and wholesale accounts, we now sell our product in major shopping centres and online via a high st retailer rather than from our own indie retail space.

We also export our label (made in UK) all over the world and so from selling our wares from one store in a UK resort, we now sell out of about 40 stores abroad as well as in the UK.

The low int rates helped massively with the transistion as we track @ 0.99%.

Our DD school went bust but she ended up spending her final year in a top public school on a massive discount which was an experience....esp considering she spent her primary years in one of Londons lowest scoring schools.

We are enjoying the moment for as long as it lasts....whilst trying to go mortgage free.....as in our sector nothing lasts forever.

I asked OH how he would define it and he said to write 'We swapped one treadmill for another far more profitable treadmill'.


Our old shop is still vacant after all this time too and is still up to let at boom rent. Silly greedy corp landlord.:cool:

wymondham

3rd year no pay rise. Work colleagues made redundant so I took on their jobs, customers going bust, but those still going seem to be improving!

wageslave

nellyII wrote: »

Trust you to work that out.

So how has the recession been for you dahling?

Car sales have to have been carp......

sarah69696pink

A few days ago I would have said if anything it had benefitted me....low interest rates and lower house prices meant I had just bought a house I would not have been able to afford a year or so ago.
However just had to take a massive paycut (almost 50%) to a really measly amount, which after mortgage and bills leaves me £50!! Luckily boyf moved in and pays rent so helps me out....but if interest rates rise....well scary thought (and yes I know it is likely to happen at some point)...I can afford 1% but after that?!
also found out on Fri due to pay cuts I now have to reapply for my job (due to job cuts in area)!..hopefully should not be too much of an issue, but still very stressful and there is always the chance that I won't get it...
Hopefully job will work out and IR stay low for another 18 months, by then will be finally fully qualified and have pay rise (hopefully!)

SteveV2

Generali wrote: »

The maths don't work.

6.5% to 1.25% drop in interest rate is a drop of 81%.

Drop in interest from £330 to £30 is a fall of 91%.

Either your bank has made an error in your favour or you've got it wrong.

I'm glad you're doing well in tough times.

It's something like that. I have half the mortgage offset in savings, which messes things about with offset interest.

Just pulled out me folder with all my bank bits in.

Am on 1.25% now and in March 2008 it was 6.25% The interest that month was £275.90. I know I have a statement that has £300+ interest, I guess a few months earlier.

Roll on 2 years to March 2010 it's 1.25%. The interest that month was £28.19.

Time could have been tougher..... I expect them to get worse and not just for me

SteveV2

michaels wrote: »

If you are anywhere near Hertfordshire and would like to quote on an extension?

I am nowhere near. Would have jumped at it if I was

The only advice I can give it not to get a builder to quote the whole job. They ride about in brand new trucks for a reason. You should see what I drive lol!

Get the trades to quote themselves. I would have quoted you £400 per 1000 bricks and £15m2 (=10 blocks per m2) blockwork which you can workout yourself