Mortgage rates

Going crackers again, heading back to the levels we had when Truss decided to set fire to the economy.

 

Ah but Starmer

 

Seen it all before. 78 took out my first mortgage at 7.25% which is still higher than they stand atm.
About 8 months later the interest rate shot up to 15%.
Christ knows how we managed but we did.
Got to feel for those just starting out.

 

Like me, one of the ways you managed was by not paying house prices that had been obscenely inflated by over a decade of extremely low interest rates. My friend has paid £140k for a two bed semi a couple of years back on a 2 year fixed at less than 2%. When that ends in a few weeks, she's got to find an extra £200 a month just for the mortgage. On top of increased energy bills, food bills and so on, she simply doesn't have it. It's horrible.

 

Quite lucky that I haven't got much left on my mortgage so the increases are minimal but |I feel sorry for those just starting out! Very fortunate that my home was only 80k when I bought - worth over 300k now. No way I could afford to buy it now

 

Here if anyone needs any help/advice on their mortgage

 

Managed because the house price to wage ratio was smaller.

 

Paid my mortgage off during COVID. No desire to take out another. If we ever move it will be a downsize due to only needing space for the two of us rather than a family home.

 

Some banks refusing to give new mortgages out can’t help either.

 

Bought our first home nearly 2 years ago and the monthly cost is going up by just over £100 a month.

Knew we should’ve got a 5 year fixed rate but the advisor we had convinced us to go for the 2 year deal.

 

Surley the housing market is going to crash sooner rather than later?

 

Haven't got massive amounts left on mine had a mortgage since been 20 still quite "youngish" now. Wouldn't mind investing in a buy to let for retirement or my kids to have when their older but not in the current climate.

 

a lot of people miss that completely

 

Maybe, but people have saying this for an age.

 

I've been thinking it for a age. Like I said in my other post been thinking about a BTL but it still seems like a sellers market.

 

Getting abit worried now to be honest. Fixed at 2.58% for 2 years in august last year. Hopefully it’s settled down by then

 

Any party which got anywhere near even approaching that would be out of power for a generation, given the current demographics and political climate.

At this point I don't even know what the answer is, but I'm pretty much resigned to the fact that my tax money's going to be used to prop up something that's against my interests pretty much indefinitely at this point. Maybe we can have another go in 50 years or so, and get it right then.

 

This kind of thing doesn’t help either. Nowt against you personally obviously.

 

I think it is doing already, I work for a very small developer and we build really good quality houses that always sell straight away but the latest development of 8 houses is really struggling to sell. House prices just aren't sustainable with the current interest rates.

 

I've worked my arse off all my life I'm not a property tycoon with 100 buy to let's living the high life. Just someone looking to invest for the future or help his kids. Is that wrong? Wouldn't do it anyway at the minute seems abit risky if that arse falls out of the market.