Historic mortgage interest rates

getmore4less

50Twuncle wrote: »

That makes interesting reading
They haven't even bothered updating it since 2009 !
I am sure that I was paying 17.5% on a fixed rate around 1988 though !!
(I will have to check back through my records)
!

it shows changes, the next update is when base rate drops to 0.25%:beer:

50Twuncle

getmore4less wrote: »

it shows changes, the next update is when base rate drops to 0.25%:beer:

OK I see !!

kingstreet

It shows BoE base rate, not your mortgage rate.

50Twuncle

Are historical Woolwich rates held anywhere for the general public to see ?

md87

How the hell did anyone afford those rates. But I guess on the flip side I know my parents paid £17k for a 3 bed semi before I was born, and then sold it for about 80k when I was 15/16, then it was sold again for 125k. So presumably peoples mortgage amount was much less back then? Still I have been moaning about my current rate of 5.29% (but about to move house and to a 2.89% rate).

Fizzy11

We were getting 3-4 wage increases a year in the times of high inflation, came out the other side with inflation reduced debt.

We meaning you getmore4less got 3-4 wage increases. Assume we means public sector. Private certainly didn't.

Thrugelmir

md87 wrote: »

How the hell did anyone afford those rates.

My first mortgage was 2.75 times joint income. Majority of lenders worked on strict lending multiples. I remember walking around Sainsburys with a calculator so we kept to budget. If we didn't have the money we didn't spend it. That's where there's been a fundamental change of culture. Debt.

Life moves in cycles. A new era will slowly dawn.

Fizzy11

Couldn't agree more.

TrickyDicky101

kingstreet wrote: »

I've just been having a gander. It made 14.875% in October 1989.

http://www.bankofengland.co.uk/boeapps/iadb/repo.asp

I think the BS movement absorbed some of the increase by only charging 15.4% mortgage rate when others couldn't do that and mortgage rates would normally have been higher.

Yikes - if it reached those levels today with my mortgage (and assuming I wasn't on a fix), in the absence of any other compensating factors (like a massive pay rise) I would be under water straight away :eek:

Thrugelmir

TrickyDicky101 wrote: »

Yikes - if it reached those levels today with my mortgage (and assuming I wasn't on a fix), in the absence of any other compensating factors (like a massive pay rise) I would be under water straight away :eek:

That's why the air is being released from the bubble very slowly. Adjusting to lower debt levels will take a long time.