Predictions on Base Rate in 2 years
Discussion
If I take a Tracker over a fixed at the moment I will save £196 / month. I would be tied in for two years.
Do you think the rates will be back up to daft levels again inside 2 years or would you take the risk?
I could bail out of it now and fix for 2, 3, or even 5 years.
Not sure how to proceed.
Do you think the rates will be back up to daft levels again inside 2 years or would you take the risk?
I could bail out of it now and fix for 2, 3, or even 5 years.
Not sure how to proceed.
I think the rates will go in. And then out.
And then they'll move around a bit, and shake it all about.
HTH.
Very few financial "experts" saw this entire global clusterf*ck coming, so I wouldn't put too much credence on predictions from the same experts on what the interest rates will be doing two years from now. I don't think anyone really has a clue what is going on...
And then they'll move around a bit, and shake it all about.
HTH.
Very few financial "experts" saw this entire global clusterf*ck coming, so I wouldn't put too much credence on predictions from the same experts on what the interest rates will be doing two years from now. I don't think anyone really has a clue what is going on...
Pferdestarke said:
If I take a Tracker over a fixed at the moment I will save £196 / month. I would be tied in for two years.
Do you think the rates will be back up to daft levels again inside 2 years or would you take the risk?
I could bail out of it now and fix for 2, 3, or even 5 years.
Not sure how to proceed.
Daft levels? Haven't they been at historic lows for over a decade?Do you think the rates will be back up to daft levels again inside 2 years or would you take the risk?
I could bail out of it now and fix for 2, 3, or even 5 years.
Not sure how to proceed.
In two years?
Hmmm... well it doesn't take a genius to work out in which direction they are going.
I think though, UK debt will have to be priced to be far more attractive and as the quantitative easing starts to leech from assets into the cash economy.
In 2 years - I'd say 7%
Personally, I'd opt for a reasonable fixed rate, anything around 3.79% over 5 years will be a very good deal.
Hmmm... well it doesn't take a genius to work out in which direction they are going.
I think though, UK debt will have to be priced to be far more attractive and as the quantitative easing starts to leech from assets into the cash economy.
In 2 years - I'd say 7%
Personally, I'd opt for a reasonable fixed rate, anything around 3.79% over 5 years will be a very good deal.
This rate uncertainty is paralysing.
I have been offered a very cheap property....I am terrified to get into it right now as I just have no idea where things will end up.
My gut tells me that the end of a 5 year fix will land right in the middle of hyper-rates......
I'm normally such an optimist too.
Worrying isn't it.
I have been offered a very cheap property....I am terrified to get into it right now as I just have no idea where things will end up.
My gut tells me that the end of a 5 year fix will land right in the middle of hyper-rates......
I'm normally such an optimist too.
Worrying isn't it.
The only reason they'd increase rates significantly is if the economy suddenly went into overdrive and they had to control house prices and/or inflation.
I reckon this recession will last a damn sight longer than that so OP, I'd definitely take that gamble.
Incidentally, low interest rates and printing money were both techniques used in Japan in the early nineties and IIRC it took them at least a decade to get back on their feet.
I reckon this recession will last a damn sight longer than that so OP, I'd definitely take that gamble.
Incidentally, low interest rates and printing money were both techniques used in Japan in the early nineties and IIRC it took them at least a decade to get back on their feet.
215cu said:
In two years?
Hmmm... well it doesn't take a genius to work out in which direction they are going.
I think though, UK debt will have to be priced to be far more attractive and as the quantitative easing starts to leech from assets into the cash economy.
In 2 years - I'd say 7%
Personally, I'd opt for a reasonable fixed rate, anything around 3.79% over 5 years will be a very good deal.
Yes that would be great if you have an LTV of 50% but I'm only 28 and therefore have only 15% equity. More like 6.5% for me if I fix. Banks should be robbed more often as they rob us on a daily basis.Hmmm... well it doesn't take a genius to work out in which direction they are going.
I think though, UK debt will have to be priced to be far more attractive and as the quantitative easing starts to leech from assets into the cash economy.
In 2 years - I'd say 7%
Personally, I'd opt for a reasonable fixed rate, anything around 3.79% over 5 years will be a very good deal.
We're frantically squirrelling away cash and knocking off the capital on all of our mortgages, almost all of ours are on variable rate so are cheap at the moment.
We're already thinking interest rates will go high to counter the stupid lows at the moment, hence reducing the gearing so we have less interest to pay in a couple of years.
Rates at 8 or 10% would mean us subsidising our tenants, which we can afford to do, but would obviously rather not.
Get saving saving saving and pay your mortgage off quickly while rates are low, rates are only going to go one way from here....
We're already thinking interest rates will go high to counter the stupid lows at the moment, hence reducing the gearing so we have less interest to pay in a couple of years.
Rates at 8 or 10% would mean us subsidising our tenants, which we can afford to do, but would obviously rather not.
Get saving saving saving and pay your mortgage off quickly while rates are low, rates are only going to go one way from here....
Pferdestarke said:
215cu said:
In two years?
Hmmm... well it doesn't take a genius to work out in which direction they are going.
I think though, UK debt will have to be priced to be far more attractive and as the quantitative easing starts to leech from assets into the cash economy.
In 2 years - I'd say 7%
Personally, I'd opt for a reasonable fixed rate, anything around 3.79% over 5 years will be a very good deal.
Yes that would be great if you have an LTV of 50% but I'm only 28 and therefore have only 15% equity. More like 6.5% for me if I fix. Banks should be robbed more often as they rob us on a daily basis.Hmmm... well it doesn't take a genius to work out in which direction they are going.
I think though, UK debt will have to be priced to be far more attractive and as the quantitative easing starts to leech from assets into the cash economy.
In 2 years - I'd say 7%
Personally, I'd opt for a reasonable fixed rate, anything around 3.79% over 5 years will be a very good deal.
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