Stuck in the help to buy trap.

RelievedSheff

Crashy_Time said:

Saying mortgage rates could rise on a property forum isn`t really trolling though is it? LOL.

It is stating the god damn obvious though. They would struggle to get much lower from where they currently are!!

Crashy_Time

RelievedSheff said:

Crashy_Time said:

Saying mortgage rates could rise on a property forum isn`t really trolling though is it? LOL.

It is stating the god damn obvious though. They would struggle to get much lower from where they currently are!!

It isn`t obvious to a lot of people who for example have made rash borrowing decisions based on saving a few thousand on stamp duty? Many people think mortgage rates won`t go up because the "government won`t let them", but as we know that isn`t how mortgage rates work.

SophieHull

We can change our current mortgage rate down to 1.7% but it would be dumb to fix the rate considering the inconclusive position we are in. Last thing we need is an ERC to add to the negative equity. We've accepted an offer today, with any luck we can get out of there once and for all. 

RelievedSheff

SophieHull said:

We can change our current mortgage rate down to 1.7% but it would be dumb to fix the rate considering the inconclusive position we are in. Last thing we need is an ERC to add to the negative equity. We've accepted an offer today, with any luck we can get out of there once and for all. 

Congratulations on the offer. Fingers crossed it all goes smoothly for you.

RelievedSheff

Crashy_Time said:

RelievedSheff said:

Crashy_Time said:

Saying mortgage rates could rise on a property forum isn`t really trolling though is it? LOL.

It is stating the god damn obvious though. They would struggle to get much lower from where they currently are!!

It isn`t obvious to a lot of people who for example have made rash borrowing decisions based on saving a few thousand on stamp duty? Many people think mortgage rates won`t go up because the "government won`t let them", but as we know that isn`t how mortgage rates work.

The majority of people who have taken out mortgages in the last few months to beat the Stamp duty deadline will be on fixed rate mortgages so any changes in interest rates won't affect them for the next 2-10 years depending on the length of their fixed rate product.

We have just fixed ours for 5 years. At the end of that term we will be under 50%LTV so will be able to get the best rates available at that time.

Tokmon

newsgroupmonkey_ said:

Tokmon said:

Crashy_Time said:

Mortgage rates can spike, and long cheap fixes are dependent on credit rating and a good sized deposit?

Using that logic then nobody should ever get a mortgage because rates are always likely to change. But in reality now is a good time to buy with how low rates are and they can be fixed for a period. Someone with an average credit history* and only a 10% deposit can get a fix less than 3% pretty easily which is still very low when you look at what interest rates have been in the past. 

This is trollception - when one troll trolls another

You do realise trolling isn't simply posting something that someone disagrees with 

I've posted my opinion of the situation on this thread and explained my reasons why i think that. You have only posted on this thread to call two people trolls and nothing more. Considering that the definition of trolling is posting things that are "intentionally provocative" i wonder which one of us meets that definition best     

Crashy_Time

RelievedSheff said:

Crashy_Time said:

RelievedSheff said:

Crashy_Time said:

Saying mortgage rates could rise on a property forum isn`t really trolling though is it? LOL.

It is stating the god damn obvious though. They would struggle to get much lower from where they currently are!!

It isn`t obvious to a lot of people who for example have made rash borrowing decisions based on saving a few thousand on stamp duty? Many people think mortgage rates won`t go up because the "government won`t let them", but as we know that isn`t how mortgage rates work.

The majority of people who have taken out mortgages in the last few months to beat the Stamp duty deadline will be on fixed rate mortgages so any changes in interest rates won't affect them for the next 2-10 years depending on the length of their fixed rate product.

We have just fixed ours for 5 years. At the end of that term we will be under 50%LTV so will be able to get the best rates available at that time.

But if you overpaid for the property the rates available in the future will be what affects your house value? Top of bubble prices and lowest interest rates in history are a very dangerous combination IMO.