My Interest rate gamble pays off again!

chucknorris

MFW_ASAP wrote: »

Just a reminder that even though rates have risen in the US, the UK still hasn't raised their rates and have no plans to do so for the foreseeable future.

"Hurrah for Dithering Dad's/Renovation Man's/MFW_ASAP's interest rate gambles!! Hurrah Hurrah", cry graham devon and the other bears, "Good on him for being so brave!"

The duration that they have been low for has already massively exceeded the 3 year period that I originally had hoped for, so when they do go up, I won't be that disappointed.

MFW_ASAP

chucknorris wrote: »

The duration that they have been low for has already massively exceeded the 3 year period that I originally had hoped for, so when they do go up, I won't be that disappointed.

I'll be disappointed because I want to maximise the time spent with such low rates, but I am chuffed to bits that I made the most of this historical period of low rates.

Thrugelmir

MFW_ASAP wrote: »

Just a reminder that even though rates have risen in the US, the UK still hasn't raised their rates and have no plans to do so for the foreseeable future.

Did you receive this information directly from Mark and the other members of the MPC?

Question seems to be in the USA. When will the next rise will be, then the one after, etc etc. If Yellen is targeting 3.5% to 4.5% in 3 years. That's a lot of .25% increments. Or will there be a sizable jump at some point.

MFW_ASAP

Thrugelmir wrote: »

Did you receive this information directly from Mark and the other members of the MPC?

Question seems to be in the USA. When will the next rise will be, then the one after, etc etc. If Yellen is targeting 3.5% to 4.5% in 3 years. That's a lot of .25% increments. Or will there be a sizable jump at some point.

I got it from the same source that told me to get a 5 x salary mortgage to buy a one in a lifetime dream home because low interest rates were here to stay.

mwpt

MFW_ASAP wrote: »

I got it from the same source that told me to get a 5 x salary mortgage to buy a one in a lifetime dream home because low interest rates were here to stay.

You should also lie on your loan application, exaggerating your income. In fact, you'd be a fool not to buy 10.

MFW_ASAP

mwpt wrote: »

You should also lie on your loan application, exaggerating your income. In fact, you'd be a fool not to buy 10.

I don't need to, I have already bought my dream home, at the bottom of the crash in 2010. Life is good

Aberdeenangarse

Oh dear, Reno Mans left us again.

Graham_Devon

Aberdeenangarse wrote: »

Oh dear, Reno Mans left us again.

He often goes on short breaks - nothing to worry about

mayonnaise

Aberdeenangarse wrote: »

Oh dear, Reno Mans left us again.

What has he done now?

cells

Thrugelmir wrote: »

Did you receive this information directly from Mark and the other members of the MPC?

Question seems to be in the USA. When will the next rise will be, then the one after, etc etc. If Yellen is targeting 3.5% to 4.5% in 3 years. That's a lot of .25% increments. Or will there be a sizable jump at some point.

rates wont surpass 3% this cycle imo and it could take 5 years to get there

also banks can lend very close to 3% if BOE rates were 3%. Their depositors are mostly paid 0% so even if the BOE rate goes up their biggest base of cash is depositors at 0% or close to it.

Interbank lending rates will go up but thats not a big part of most banks deposits

So as rates go up margins will go down (that is margins between mortgages and BOE rate, not margins for the bank itself)