imlach

Up to 4.75%.....BMW X5 meltdown here we come for the suckers!

MattW

Does n't affect me too badly, I'm living well within my means

imlach

I'm on a fixed rate for 5 years, so quite comfy myself.

Must be a few people sweating it out though

Scooby96

Yep same here my rate was fixed wef 3rd Aug for 2 years.

Faire D'Income

Ah. The joys of a Euro mortgage where the ECB changes interest rates once every decade or so. If only they could all be like that.

stiks

Will continue that way for a while IMHO. I fixed for 5 years at the start of the year .

eClaire

When I saw this on the front page saying Faire D'Income was the last one to post - how did I know it was an imlach thread??

Suresh

It's nothing like the 15% we saw under the Tories so I wouldn't expect a 25 basis points rise to burst the bubble just yet....

To be honest, it's also fantastic news that the independence of the BoE is proven even as elections are looming.

Faire D'Income

Your point being?

davegtt

tbh its not gonna effect many people at the minute, how many people are sitting with a variable morgage? it wont get interesting for another 2 years IMO. still plenty of time for **** to happen

Scooby96

Well if I see a few more rises by the end of the year then I'll go for a 10 year fixed!!

eClaire

Faire D'Income, that was to Uncle Ricky - he will know what I'm talking about

eClaire

Nope, on the front page you don't see the topic starter.

Iwan

Makes me glad i completed on my house sale on monday!

DavidBrown

I don't have a mortgage, only savings, so I don't mind

tiggers

What's a mortgage?

unclebuck

higher, higher....

Nexuas

Oh look it is a meeting of the "I'm alright Jack" club

So what are the poeple who's fixed rate ends in 2 or even 5 years going to do, when their fixed rate ends? You are then going to have to pay higher rates?? So are you saving now for that rainy day?

davegtt

Nexuas, sad aint they, pathetic vultures who are hoping they can live of other peoples worries

in 2 or 5 years time when the fixed rate runs out they'll end up being stung by a double morgage payment or not far off depending on how high these increases go on by.... it'll be interesting to say the least.

ATM house prices aint falling but interest rates are highering, this makes it even harder to get on the ladder IMO

imlach

I don't know what I'll do in 5 years.....I don't have to worry for now.
It's all about your own personal situation and what is best for you. For me right now, a 5 yr fixed is the best option. If interest rates are at 12% in 5 years well that'll be how it is.......I'll deal with it then (or before). However, for now, it's all fine & pleasant.

MattW

And thats the real worry, I'd personally like to see either a nice bit of inflation so incomes can catch up, or dare I say it a realignment of prices.

FFS 5 years ago we bought our house for £140k its, now worth £260k, bloody ridiculous. The house we bout two years earlier at £85k (which was a great shock to me coming from my 2 bed semi in Oswestry at £36k) we sold for £120k.

Faire D'Income

That's the gamble though, isn't it? The chances are that interest rates will have come back down in that timescale but if you have fixed your mortgage then at least you have the comfort of knowing exactly what your repayments will be for a given period.

Suresh

Hopefully you've hedged out your fx risk otherwise you could be in for a nasty surprise when it comes to repayment... i.e. EUR 500k borrowed at the end of 2002 would have given you GBP 305k to buy property. Repayment of that same EUR 500k today would set you back GBP 330k = An fx loss of 25 grand sterling if you had to liquidate.

Regards

Suresh,
Happily paying 2.5% on a subsidised EUR mortgage...

imlach

...or by not having a fixed rate, getting stung earlier with those higher rates......you take your choice.

SiPie

Ooooooohhhh.... how smug

imlach

Well, if "fine & pleasant" can be said in the same sentance as "paying out loads of money to the mortgage lender"

DavidBrown

Interest rates affect borrowers and savers in similar measure.. if interest rates went down, understandably borrowers would be very happy about it.. should savers criticise them for being in the "I'm alright Jack" club ?

damian666

I'm waiting the 2-5 years for the collapse.

Fingers crossed.

Damo

tiggers

Sorry guys, but having lived through the late 80's when I was paying a mortgage rate of 15.4% on a mortgage three times my salary I can't get too upset with the current rates.

I was told many times back in the late 80's that my hardship (not that it was that bad as my house was my only borrowing) was my own fault for being greedy - hence why I have little sympathy when rates are about a third of the rate back then.

imlach

I'm not sure I do??????????