BOE Interest Rate Rise

[pickle]

Anyone think they will come down again this year ?

Theres a long way up to go yet . Expect another .25 in March or April

[Ivor1]

Theres a long way up to go yet . Expect another .25 in March or April

Im not bothered I can afford it just dont want to pay, actually this rate increase has prompted me to review my investments and pay off £75K of my mortgage by the end of next week. I expected it to go up but thought it would peak 5.25% Mr PRICKle

[bobhope]

Game on! no debt + pile of savings now growing at a faster rate.

Just need another in March/Apr now.

[Sockpuppet]

isn't this good news for someone in your position? Borrowing less affordable = less people buying = lower prices

Also higher mortgage payments = more repossessions = bargains = lower prices


Plus your cash reserves earn more interest.

Not really. I doubt there will be a significant decrease in house prices for a good 6 months yet.

Now if they were to wack a whole % point on there next month.

Hopefully they can unseat some of the "I have a BTL property - look at me aernt I so financially savvy".

[Spartacus]

Theres a long way up to go yet . Expect another .25 in March or April

Someone on here was predicting 6% by the end of the spring just before Chrimbo. I hope!

[Buffoon]

Someone on here was predicting 6% by the end of the spring just before Chrimbo. I hope!

Wasn't me but I'd certainly go along with another 25bp sometime in the next 3 three months. Maybe more rises after that before the end of the year.

Here is the BoE statement for those that care.

They are woried about inflation and they think that there is more to be done to combat it. i.e. rates may have to rise further.

[John Galt]

Heard Gordon Blair on the tv the other day rabbiting on about the 'challenges' for the future and along with all the non-drivel he usually spouts he mentioned the economy - I thought it was odd at the time as he has gone to such pains to reassure us all that we are all rich beyond our wildest dreams.

[lilelvis2000]

Now there will be a spurt of house buying as people try to get a fixed rate mortgage before the banks raise their rates. Expect a news report next month that house prices have increase another 1%.

Its self-fulfilling I tell ya.

[Goya]

Unfortunately I'll be looking to get back into the housing market in the next few months (having got off last October). Interest rates increasing isn't great news, but I don't think there will be a house price crash, merely a slow down.

It would be nice though if a crash could occur in the next month or two

[Ivor1]

Now there will be a spurt of house buying as people try to get a fixed rate mortgage before the banks raise their rates. Expect a news report next month that house prices have increase another 1%.

Its self-fulfilling I tell ya.

I agree, they keep saying mortgage approvals are up, but thats because everyone is trying to get a deal secured thinking rates will go up, and lots of people getting new mortgage deals increase the risk of rate increases. PLUS energy costs, they could go down now if the gready companies reflect the descrease in wholesale costs to there customers but the feckers have decided to wait till after winter to do it.

I personally think we may see 5.5% but it wont go any higher than that, the majority view of the comments Ive seen from economists etc is along the same lines.