interest rates

carlos700

I know nobody can see into the future but has anybody got any predictions of if the interest rates are likely to rise or fall ?

I do not mean in the near future i mean are they likely to be going up still say in two -three years time .

Sorry it is a question which nobody could know for definate i know that .I have a fixed rate morage with two years before it goes onto variable rate i am thinking now maybe i should have fixed it for 5 years.

cells

No one can tell you this for sure, but I can tell you

Historically interest rates are still low!

raq

we are doing 2 year fixed as from this september

recyclingbox

my general feeling is that one more rise to 6pc is likely before Christmas. Then rates will remain unchanged for a while. things like relatively low unemployment and a slowing in the house market (just) suggest (to me anyway) that the economy is slowing - so no need for massive increases.

BAsed on this I'm just about to change my mortgage to a tracker rather than fixed. It's a gamble but i think i'll take it. Hopefully in a year or so rates may well come down, at least that is what i am hoping.

Depending on when the rate rchanges comes, either before or after you opt for the mortgage product is when you find out if you pulled it off! Go for a fixed on current rate and if it goes up then way hay but if it drops again next August and September - oops!

But this is all just my opinion....

seikothrill

I agree with the earlier comment regarding interest rates rising at least once more before Christmas. I believe the there will be one more rate rise in 2008 and then interest rates will plateau and then begin to decrease.

I have just re-mortgaged on to a lifetime tracker with no early redemption penalty at any time.

With a fixed rate product I would be concerned of:

1. Fixing in at a high level
2. Some lenders charge high product fees for fixed rate products
3. The early redemption penalty.

You should also note swap rates are beginning to reduce so I would be hopeful that the fixed rate products will also decrease

poppy10_2

I was expecting rates to climb to 6.25 at least by next year, but with the inflation figures (however dodgy they may be) dropping so much, house prices stalling and stock markets tumbling, I think we may have seen the peak already.