UK economy 'skating on thin ice'

[kramer]

maybe they can raise money with a phone in quiz!!

[dang65]

There was a funny story on the radio at the weekend about how furniture shops like DFS put huge price increases on their sofas and beds and stuff in the couple of months before their Grand Easter Sale 50% off everything! bonanza.

Unfortunately, sofas and beds are included in the Retail Price Index calculation and this marketing scam actually ends up influencing interest rates.

That's what it said on the radio anyway.

[threaded]

I'd say that was just government sponsored spin to say the inflation rate really isn't as high as it is. (When we all know it is actually way higher)

[milanbenes]

interestingly there's a mortgage calculator on the bbc website

I had a go with it stuck an arbitary 200,000 GBP mortgage in at 5% it said the monthly payments would be 1,180GBP per month

it then warned that is the interest rates went to 12% the monthly payment would be 2,085 GBP per month !


ooops

there may be trouble ahead, if these interest rates keep rising there's gonna be a good few folk out there with brown underpants

Milan.

[Diestl]

Hopefully no ones stupid enough to take out a mortgage at 200k unless there pulling in at least 3k net a month!

[scooterscot]

Hopefully no ones stupid enough to take out a mortgage at 200k unless there pulling in at least 3k net a month!

3K net a month? What that in norwegian Kroner?!! Anything less than 10K a month I'm still in bed....

[Euro-commuter]

interestingly there's a mortgage calculator on the bbc website

I had a go with it stuck an arbitary 200,000 GBP mortgage in at 5% it said the monthly payments would be 1,180GBP per month

it then warned that is the interest rates went to 12% the monthly payment would be 2,085 GBP per month !


ooops

there may be trouble ahead, if these interest rates keep rising there's gonna be a good few folk out there with brown underpants

Milan.

I've just bought at house on a 10-year mortgage. A bit of rate rise won't make much difference. It's only if you try to borrow forever that all you're paying is interest, so double the rate means double the payments.

[andy]

I am renting a flat worth 200k for £550/month
beat that

[scooterscot]

3K net a month? What that in norwegian Kroner?!! Anything less than 10K a month I'm still in bed....

You know I'm still going to have a ramble, wages are the reason for debt, first time buyer problems, I've seen permie jobs advertised a few more K above the figure I started out on as a fresh faced graduate 10 years ago on the same job; someone needs a good kick up the aröse for this...

[Numptycorner]

I am renting a flat worth 200k for £550/month
beat that

Proving what I have been saying the price of houses does not match the demand for housing. Rents are cheap compared to mortgage repayments becuase of the oversubscription of BTLs.

Doomed etc.