| Remortgage 09:48 - Sep 27 with 4961 views | clive_baker |
Blimey.
Boring I know but my fixed period ends in summer '23, I'm too early to lock a rate in now anywhere and by the time I can the BOE base will likely be up another 0.5% - 0.75%. I'm looking at an increase from 1.8% that I'm on now to something like 4% - 4.5% I imagine. I've got 50% LTV, 2 incomes, so relatively low risk from a lenders perspective.
On £300k of debt its a decent chunk of change, looking at £400 - £500 a month more from the summer, plus inflationary pressures and utilities etc.
Good news for those with more savings than debt innit, I guess they're the the ones that vote Tory. |  |
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| Remortgage on 13:57 - Sep 27 with 696 views | TractorFactor |
| Remortgage on 13:29 - Sep 27 by DinDjarin |
Lenders are offering 90k less to average earners so I would say higher end prices may drop 400k+ but will be more demand for the 2 - 400k prices so no idea how it will play out. |
This is always a cheery site to browse through - they do collect and analyse some decent data which can make you think - and the forum is worth a look too: https://www.housepricecrash.co.uk/
Must be risk of up to 20% slide, given squeezing on real incomes and increasing finance costs. Supply / demand can only negate a certain amount of downward pressure.
I certainly would be quite wary of buying at present. |  | | |
| Remortgage on 14:06 - Sep 27 with 670 views | Daninthecampo |
BOE is likely to be 3.5% -4% by early 2023, with the tumbling Sterling it needs to rise sharply and quickly.
If my deal was due to expire in the next 12-24 months, i would be looking at possibly paying the ERC, the housing market is highly overpriced , mortgage rates at circa 6% is going to kill the market and prices will fall. After the 2008 crisis finding any kind of mortgage over 70% LTV was almost impossible. Mortgage lending is based on monthly affordability,with much higher mortgage payments and utility bills there will be a lot of people unable to switch lenders to get a new deal and will be forced to take an unattractive fixed deal or stay on SVR with their current lender
I've been a mortgage adviser for the last 19 years |  | | |
| Remortgage on 16:19 - Sep 27 with 566 views | ibbleobble |
| Remortgage on 12:09 - Sep 27 by StokieBlue |
So no evidence?
You've based you're entire position on an ancedotal situation and then said that my point is speculation even though it's the view of the majority in the industry.
This really isn't how it works, you need to backup your assertions, not say that others asking for evidence are speculating (especially when it's not the case).
SB |
Er..you what? I was talking anecdotally about my situation with Baker before you waded in in your typically pompous fashion demanding ‘evidence’. My evidence is that I made a massive saving, what more do you need!?
The other point i made was about the market speculating, not that you are speculating. The market is most definitely speculating at this stage. Your evidence seems to be, “majority in the industry say” - talk about pot kettle black! How is that evidence?
Zero interest in discussing this with you. Find someone else to Tory bash with. | | | |
| Remortgage on 16:28 - Sep 27 with 553 views | Sarge |
| Remortgage on 10:03 - Sep 27 by StokieBlue |
Any evidence for better liquidity due to the stamp duty increase?
Most people in the field have been saying that all that has/will happen is that sellers just put the price up for the amount people are saving in stamp duty.
I highly doubt it'll be effective in increasing liquidity.
SB |
He’s already agreed the price, unlikely the seller will put the price up now unless he wants to risk the deal collapsing.
I’m due to complete in a couple of months, the stamp duty change has saved me £6k. I suspect it will benefit those already partway through the process such as me and the other poster and relatively few people beyond that. Although given where mortgage rates are going I don’t think sellers are going to find it as easy to attract buyers which may dampen their profiteering somewhat. | | | |
| Remortgage on 16:30 - Sep 27 with 545 views | StokieBlue |
| Remortgage on 16:19 - Sep 27 by ibbleobble |
Er..you what? I was talking anecdotally about my situation with Baker before you waded in in your typically pompous fashion demanding ‘evidence’. My evidence is that I made a massive saving, what more do you need!?
The other point i made was about the market speculating, not that you are speculating. The market is most definitely speculating at this stage. Your evidence seems to be, “majority in the industry say” - talk about pot kettle black! How is that evidence?
Zero interest in discussing this with you. Find someone else to Tory bash with. |
Your point was about liquidity though, which is nothing to do with making a saving on stamp duty.
Reading back I think you've just misused liquidity (accidentally), in this context it would mean that the change in stamp duty would mean that more properties were available on the market for people to buy.
I think this is the source of the confusion and why I asked for evidence of more liquidity (you provided evidence of a saving).
SB |  |
| Avatar - IC410 - Tadpoles Nebula |
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| Remortgage on 17:05 - Sep 27 with 503 views | Charlie_pl_baxter |
| Remortgage on 12:37 - Sep 27 by clive_baker |
You can also over pay, I think mine is up to 10% of the value of the mortgage, which is far higher than the equity element of the repayments anyway. So in theory you could switch to interest only so you're only committed to paying the interest for a fixed period, but still overpay as and when you can, but not having the commitment to doing so.
Not financial advice, just my tuppence. |
When you overpay on an interest only are you paying off more of the interest or more of the principle though? |  |
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| Remortgage on 17:06 - Sep 27 with 500 views | mutters |
| Remortgage on 11:38 - Sep 27 by hype313 |
Feel for you, that's a heck of a jump next year.
I fixed last year for 5 years at a really low rate, had the option of a 10 year deal and kicking myself that we didn't, going to try and overpay over the next 4 years so when we come around to re mortgaging our balance will be a lot lower, at best we will be paying the same as we are now on a lower mortgage, at worst we will be paying vastly more.
Effing Tories, they need to be kicked out now. |
Why overpay? If you're locked into a lower rate then you'll earn more on your money with the increased saving rates? Depends on what rate you have but rates last year are already well below saving rates now |  |
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| Remortgage on 17:33 - Sep 27 with 465 views | RonFearonsHair |
| Remortgage on 11:38 - Sep 27 by hype313 |
Feel for you, that's a heck of a jump next year.
I fixed last year for 5 years at a really low rate, had the option of a 10 year deal and kicking myself that we didn't, going to try and overpay over the next 4 years so when we come around to re mortgaging our balance will be a lot lower, at best we will be paying the same as we are now on a lower mortgage, at worst we will be paying vastly more.
Effing Tories, they need to be kicked out now. |
If you've fixed a really low rate for the next 5 years then what is the value in overpaying? Could you not put the money somewhere providing a better return and then have more of it to pay a bigger chunk off when you remortgage? |  | | |
| Remortgage on 17:38 - Sep 27 with 463 views | ibbleobble |
| Remortgage on 16:30 - Sep 27 by StokieBlue |
Your point was about liquidity though, which is nothing to do with making a saving on stamp duty.
Reading back I think you've just misused liquidity (accidentally), in this context it would mean that the change in stamp duty would mean that more properties were available on the market for people to buy.
I think this is the source of the confusion and why I asked for evidence of more liquidity (you provided evidence of a saving).
SB |
A bit cheeky that. I didn’t misuse it, you misinterpreted what I meant by “we”. ‘We’ as in my family, not ‘we’ as in society, although first time buyers are a collective so you can argue a lot of first time buyers will have better liquidity as a result. | | | |
| Remortgage on 17:55 - Sep 27 with 424 views | Mullet |
We fixed for 10 years from December so I'm feeling a bit less anxious about the mortgage but it only seems good in hindsight, anticipating this clusterfcuk from KK et al. |  |
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| Remortgage on 18:58 - Sep 27 with 365 views | StokieBlue |
| Remortgage on 17:38 - Sep 27 by ibbleobble |
A bit cheeky that. I didn’t misuse it, you misinterpreted what I meant by “we”. ‘We’ as in my family, not ‘we’ as in society, although first time buyers are a collective so you can argue a lot of first time buyers will have better liquidity as a result. |
That's not what I've said.
You can read my post and then go back and read yours. Liquidity isn't applicable in the way you've used it.
You really can't argue that unless you can show there are more first time buyer properties in the market and at the same price as before the announcement.
SB [Post edited 27 Sep 2022 18:59]
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| Avatar - IC410 - Tadpoles Nebula |
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