We’d like to remind Forumites to please avoid political debate on the Forum.

This is to keep it a safe and useful space for MoneySaving discussions. Threads that are – or become – political in nature may be removed in line with the Forum’s rules. Thank you for your understanding.

Debate House Prices


In order to help keep the Forum a useful, safe and friendly place for our users, discussions around non MoneySaving matters are no longer permitted. This includes wider debates about general house prices, the economy and politics. As a result, we have taken the decision to keep this board permanently closed, but it remains viewable for users who may find some useful information in it. Thank you for your understanding.
📨 Have you signed up to the Forum's new Email Digest yet? Get a selection of trending threads sent straight to your inbox daily, weekly or monthly!

Interest rates direction

245

Comments

  • michaels
    michaels Posts: 29,236 Forumite
    Part of the Furniture 10,000 Posts Photogenic Name Dropper
    Jack_Johnson_the_acorn wrote: »
    Seems like the banks are predicting low rates for a long time to come. Good news for all I suppose.:beer:

    I would say it is bad news that the markets are pricing in such low rates for 10 years as this implies low inflation and low growth meaning that returns on investment will be minimal :(
    I think....
  • tkane
    tkane Posts: 333 Forumite
    michaels wrote: »
    I would say it is bad news that the markets are pricing in such low rates for 10 years as this implies low inflation and low growth meaning that returns on investment will be minimal :(

    If what has happened in the last few years is any indication of what is to come in the future, inflation is irrelevant.

    Central banks are passing on the QE batton between themselves, and QE boosts asset prices.
  • tkane
    tkane Posts: 333 Forumite
    Crashy_Time wrote: »
    No, rates don`t need to move much, Aberdeen market for example will crash on job/income losses alone.

    Right, so interest rates which affect every mortgaged property in the UK are not an important factor but what happens to the Aberdeen housing market will be pivotal.

    Do you not see the idiocy in your own statements?
  • mayonnaise
    mayonnaise Posts: 3,690 Forumite
    Good news. :beer:

    shortbrained will be gutted, poor chap.
    Don't blame me, I voted Remain.
  • Thrugelmir
    Thrugelmir Posts: 89,546 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Photogenic
    [QUOTE=tkane;67516692
    Central banks are passing on the QE batton between themselves, and QE boosts asset prices.
    [/QUOTE]

    Depreciating currencies is a zero game though if everybody follows the same route. Looks like Denmark is decoupling from the Euro. Even the BOE may end up offering minus rates on overnight deposits.
  • padington
    padington Posts: 3,121 Forumite
    princeofpounds wrote: »
    Banks aren't predicting much at all. The capital markets are predicting and providing ten year funding more cheaply. Banks (simplistically) just slap a margin on and lend to individuals.

    Why do they get paid so much to do that then? Crashy could pull that trick off.

    Just :D
    Proudly voted remain. A global union of countries is the only way to commit global capital to the rule of law.
  • tkane
    tkane Posts: 333 Forumite
    Thrugelmir wrote: »
    Depreciating currencies is a zero game though if everybody follows the same route. Looks like Denmark is decoupling from the Euro. Even the BOE may end up offering minus rates on overnight deposits.

    Dollar is up significantly.
  • padington
    padington Posts: 3,121 Forumite
    tkane wrote: »
    Right, so interest rates which affect every mortgaged property in the UK are not an important factor but what happens to the Aberdeen housing market will be pivotal.

    Do you not see the idiocy in your own statements?

    Lol :rotfl:
    Proudly voted remain. A global union of countries is the only way to commit global capital to the rule of law.
  • Thrugelmir
    Thrugelmir Posts: 89,546 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Photogenic
    tkane wrote: »
    Dollar is up significantly.

    The USA is insular so won't be bothered what others think.

    Still hovering just above it's 52 week low.
  • padington
    padington Posts: 3,121 Forumite
    edited 21 January 2015 at 12:34AM
    Crashy_Time wrote: »
    The banks are struggling to shift their "product". That means there are less people around who want to buy your house Jack.

    Partly because there is such little supply of available houses for sale. Loan salesmen for buyers of hens teeth are struggling at the moment too.

    If you can find a hens tooth though, the loan rates are very good. Maybe a good time to buy hens teeth if you can ?
    Proudly voted remain. A global union of countries is the only way to commit global capital to the rule of law.
This discussion has been closed.
★ ★ ★ Meet your Ambassadors

🚀 Getting Started

Hi new member!

Our Getting Started Guide will help you get the most out of the Forum

Categories

  • All Categories
  • 352.2K Banking & Borrowing
  • 253.6K Reduce Debt & Boost Income
  • 454.3K Spending & Discounts
  • 245.2K Work, Benefits & Business
  • 600.9K Mortgages, Homes & Bills
  • 177.5K Life & Family
  • 259K Travel & Transport
  • 1.5M Hobbies & Leisure
  • 16K Discuss & Feedback
  • 37.7K Read-Only Boards

Is this how you want to be seen?

We see you are using a default avatar. It takes only a few seconds to pick a picture.
Update Your Picture