[lemoncurd]

Base rate is now 5.25%

After years of stagnant returns on lower-risk savings, things are finally picking up!

[diablo]

All the experts said they'd stay the same this time. They must be very worried about inflation.

[Hathor]

House owners, get your tents ready!

[pillsburyb]

Originally Posted by Hathor

House owners, get your tents ready!

LOL,

Hopefully the housing market will slow down and the house prices will start to fall.

[lemoncurd]

Originally Posted by diablo

All the experts said they'd stay the same this time. They must be very worried about inflation.

Inflation is still running away - the retailers were all saying that they were doing very well this Christmas. The problem is that people can still afford to take out even more credit.

[Caxton]

Originally Posted by lemoncurd

Base rate is now 5.25%

After years of stagnant returns on lower-risk savings, things are finally picking up!

Great for me, but not for others

[organiclive]

Interest rates rise again.

When is this going to end the recent rate rise has already hit everyone hard over the xmas period this really isnt needed right now.

The only people who benefit are savers.

What are everyon elses views?

[cobaltmale]

Originally Posted by organiclive

Interest rates rise again.

When is this going to end the recent rate rise has already hit everyone hard over the xmas period this really isnt needed right now.

The only people who benefit are savers.

What are everyon elses views?

You're not asking for advice and there's a thread in GD already if you want views.

G

[R.S.V.P.]

Will it ever get easier for the first time buyer?

This won't slow down the housing market I don't think. My two adult children have no hope of buying their own home. They dream about it, but that is all it is, a dream.

[organiclive]

im 21 and i want to move out of the family home but at the moment i dont stand a chance of getting my own place rented or owned.

Ive got credit card debt that i need to pay back and then save up for my own place at the moment im stuck between the devil and the deep blue sea ive got to stay put.

The only thing an interest rate rise is good for is savers everyone else suffers. I know for fact that the last quater percent rise increased my parents mortgage by £40 a month. I know it doesnt sound alot but to some people £40 is alot of money, but when you think another £40 a month again it soon adds up.

Everyone who owes money loses out and everyone who saves gains.

Doesnt help that i was made redundant either

[diablo]

Originally Posted by R.S.V.P.

Will it ever get easier for the first time buyer?

This won't slow down the housing market I don't think. My two adult children have no hope of buying their own home. They dream about it, but that is all it is, a dream.

It might slow down the market. There is talk of interest rates rising further, which may make buy-to-let seem less attractive. Like all markets, it is driven by sentiment, and a trickle of buy-to-letters selling up may turn into a flood.

Though don't count on it.

[Outrunner]

My fixed deal I took out in August is looking like a bargain now I remember taking out my first mortgage with interest rates up at 12 or 14%

[organiclive]

Thanks for letting me know, i posted in the wrong section sorry guys & gals.

[Ads]

Gordon Brown's mismanaging of the ecomony is starting to show now, with consumer price inflation shooting up.Sadly the Bank of England were left with no choice.

Better tighten the old belt for a few months - until we are out of penalty period and can swap our mortgage company.

[gcbus]

My first mortgage interest was charged at 18% back in 1984..... mind you, the property only cost me £16,750 at the time. It's all relative. The old maxim of never have a monthly mortgage payment greater than 50% of your net monthly earnings or 33% of your gross still holds true.

[comicsansserif]

After years of stagnant returns on lower-risk savings, things are finally picking up!

If only this were true. Past experience tells that the mortage rates will be upped pretty much immediately by that amount but that savings rates will be upped some considerable time down the line and by nowhere near as much of an increase.

[lemoncurd]

Originally Posted by comicsansserif

If only this were true. Past experience tells that the mortage rates will be upped pretty much immediately by that amount but that savings rates will be upped some considerable time down the line and by nowhere near as much of an increase.

2 of my 3 cash savings accounts are generally very good - the lag is no more than a month to two months before they up the rates. The other (egg) are rediculously slow.

[Rog]

Funny how my attitude to interest rates has changed since I stopped having a mortgage and became a net saver

[cathh70]

Originally Posted by Outrunner

My fixed deal I took out in August is looking like a bargain now I remember taking out my first mortgage with interest rates up at 12 or 14%

We fixed again in the last year at 4.99 for 10 years, and have savings, so it it good news for us at the moment. Of course it could all change.

My first mortgage was also over 10%.

[Purity]

Very glad that my mortgage was fixed at 4.48% for the next two years then

[simonipswich]

It's a catch 22 situation: good for savers, bad for people with debts. It won't help first time buyers one bit but make it more expensive for them them to borrow. Sad fact that most first time buyers are now in their 30s.