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Debate House Prices


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Interest Rates held at 0.5%

24

Comments

  • Thrugelmir
    Thrugelmir Posts: 89,546 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Photogenic
    RenovationMan wrote: »
    True. I know that I have. My mortgage went from being around the £60k mark to £270k. I've never felt richer. ;)

    Many people accumalate paper profit gains only to say later if only..........
  • RenovationMan
    RenovationMan Posts: 4,227 Forumite
    Thrugelmir wrote: »
    Many people accumalate paper profit gains only to say later if only..........

    Many more people look at a missed opportunity and say if only....
  • chewmylegoff
    chewmylegoff Posts: 11,469 Forumite
    Part of the Furniture 10,000 Posts Combo Breaker
    RenovationMan wrote: »
    Many more people look at a missed opportunity and say if only....

    your amazing home ownership challenge seems to have stalled somewhat since june.
  • C_Mababejive
    C_Mababejive Posts: 11,668 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Combo Breaker
    Yes,i noticed it though its just as i expected.

    you see sovereign debt is now so high that there is only one way to fix it.

    Get the "inflato" machine out.
    Feudal Britain needs land reform. 70% of the land is "owned" by 1 % of the population and at least 50% is unregistered (inherited by landed gentry). Thats why your slave box costs so much..
  • mbga9pgf
    mbga9pgf Posts: 3,224 Forumite
    If it wasnt for VAT though inflation would be sub 2% (around 1.5%) How can IR rate rises prevent VAT affecting CPI? It cant. Hence the reason why rates will only marginally edge up, I cant imagine rates going above 2-3% over the next 5 years, and 5% over the next 10, both of which are scenarios I am fully budgetted for (can cope at 9% rates as a max).
  • RenovationMan
    RenovationMan Posts: 4,227 Forumite
    chewmylegoff wrote: »
    your amazing home ownership challenge seems to have stalled somewhat since june.

    If you mean that I havent done any overpayments since June, then your right, but as I have said several times, I'm only allowed to overpay 10% without penalty.

    My mortgage was £300k in May and I overpaid £30k in June (i.e. 10%). I'm now not allowed to overpay without penalty until next May, when I will be able to put £27k (i.e. 10% of the balance) on the mortgage.

    I have well over £27k in savings in the bank, but I'm juggling this money between keeping it back for next years overpayments and spending it on renovating my house. I intend 'borrowing it' for the renovations and paying it back out of my salary. As long as I make the full £27k overpayment between May 2011 and May 2012 then I' will have made the full 10% OPs and I'll be very happy. :)
  • matt987106
    matt987106 Posts: 390 Forumite
    long may it continue
  • StevieJ
    StevieJ Posts: 20,174 Forumite
    Part of the Furniture 10,000 Posts Combo Breaker
    RenovationMan wrote: »
    Why stop at a paltry 15%, imagine if they were 50%!! I'd estimate that almost all mortgaged households would be reposessed. I know that mine would be. :)

    Incidently, rates were 14% in 1990, at their highest point in that decade.
    http://moneyworld.com/bank-base-rates.htm

    You should use a better source, it was 14.875%, is that link any relation of Moneyweek :)

    http://www.bankofengland.co.uk/statistics/rates/baserate.pdf
    'Just think for a moment what a prospect that is. A single market without barriers visible or invisible giving you direct and unhindered access to the purchasing power of over 300 million of the worlds wealthiest and most prosperous people' Margaret Thatcher
  • ILW
    ILW Posts: 18,333 Forumite
    StevieJ wrote: »
    You should use a better source, it was 14.875%, is that link any relation of Moneyweek :)

    http://www.bankofengland.co.uk/statistics/rates/baserate.pdf

    Bought my first place end of 1989, Did hurt when payments doubled. I remember thinking that single figures would be brilliant. The only good thing was that repayments only went down from then on.
  • ess0two
    ess0two Posts: 3,606 Forumite
    Part of the Furniture 1,000 Posts Name Dropper
    AD9898 wrote: »
    No surprise, the housing market couldn't stand the smallest of rises and because the rest of the economy has been built on the back of this fictitious wealth, neither can that. I'd really like to see a graph plotting what would happen to repossessions and prices if rates were 15%, like they were in the 90's bust, this despite many more dual income families enslaved by mortgage debt.

    I'd estimate at least half of all mortgaged household would be repossessed. Says it all really.

    Dont forget peak oil also.
    Official MR B fan club,dont go............................
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