Interest rates

pamaris

dannyboycey wrote: »

I think the Windows 95 operating system that powers your brain has crashed.

Commodore 64? VIC 20?

mystic_trev

No change - It'll be interesting to see next weeks Inflation figures.

Generali

mystic_trev wrote: »

No change - It'll be interesting to see next weeks Inflation figures.

I reckon that 2.0% was a good call, whoever posted that earlier.

CB1979_2

based on nothing but my own judgement/guess!

i think they'll come down by 0.25% by xmas, whether this month or next.

and then by another 0.25% by march.

in fact i have £100 bet with my mate that within 6 months from now, the IR will have dropped by at least 0.5%! lol

Gorgeous_George

The fact that the question is 'Will they hold or drop interest rates?' suggests that we are at the top of the latest IR cycle and that the next move will be downwards. That doesn't mean that house prices will rise further or eill not fall/correct/crash*. If lower rates are accompanied by tighter lending, house prices will not rise.

I have championed life-of-mortgage base rate trackers for some time and use Britannia myself (BR +0.74%). Maybe not the cheapest off-set deal available but, at the time, there was no charge for the valuation, no arrangement fee and low legal costs. I still believe this type of mortgage offers the best long term solution to my mortgage requirements. And I didn't need a middle man to find it for me.

Surely the next drop in IRs cannot be far off. Once we have one, others will follow close behind. 5% by Nov 08 it is my latest guess.

GG
* delete as appropriate

aardvaak

CB1979 wrote: »

based on nothing but my own judgement/guess!

i think they'll come down by 0.25% by xmas, whether this month or next.

and then by another 0.25% by march.

in fact i have £100 bet with my mate that within 6 months from now, the IR will have dropped by at least 0.5%! lol

Lets hope not!

aardvaak

mystic_trev wrote: »

No change - It'll be interesting to see next weeks Inflation figures.

This is the best news i've heard all day!

free4440273

I'm just glad I opened my NW fixed rate bond(s) last month. Swap rates are coming down.

jonewer

nollag2006 wrote: »

We can only hope for a cut to give house prices a bit of a push up, but I don't think we'll see anything before Christmas.

Good to see that we are at the top of the interest rate cycle though.

:money:

People like you make me sick.

Can you explain to everyone how rising house prices benefit society?

Gorgeous_George

jonewer wrote: »

People like you make me sick.

Can you explain to everyone how rising house prices benefit society?

Yes, it must be galling to see people who own their homes not wanting a crash.

A 50% crash in prices will cause untold pain to millions of people. Divorce and suicide will hit new highs. Hardly great for 'society'.

Tighter lending should cause prices to fall and coupled with cheaper mortgages could improve 'affordability'. Simply affording a house will not be enough if tighter lending starve the would-be homebuyer of the necessary funds. Prices will fall but those who cannot afford today will probably still be unable to afford tomorrow. There needs to be more homes.

GG