Grim news

[DimPrawn]

What about inflation of basic essentials (food, fuel, etc) without wage inflation? Will that too not have a devastating affect on people's ability to continue servicing their already high levels of debt (mortgage and credit card), forcing bankruptcy or quick sales at lower prices?

The market can only sustain what people can afford. Can't see wage inflation happening whilst globalisation is doing the opposite.

Mortgage rates are getting cheaper and cheaper, so the cost of the debt is falling as the cost of living rises.

Express.co.uk - Home of the Daily and Sunday Express | UK News :: Mortgage joy as rate falls to a 23-year low

So, rents are rising and so are utility bills and food etc, but mortgage costs are falling.

Which camp would you rather be in?

[AtW]

Got to be honest I really don't understand this is all, my current situation is I stuck all my savings into an offset mortgage and have now completely offset it, considering the economy and future economy is the best thing then for my savings, I was thinking of pulling some out and buying some shares etc while prices are low ?

Don't take investment advice on public forums like this.

HTH

[AtW]

Express.co.uk - Home of the Daily and Sunday Express | UK News :: Mortgage joy as rate falls to a 23-year low

What really cracks me up is that people who'd get into houses (thus propping up the bubble) using current very low rates will be totally shafted when rates will go up, maybe it will take 3-5 years but they will certainly not stay at 0.5% forever: ECB is already moving them up.

[DimPrawn]

What really cracks me up is that people who'd get into houses (thus propping up the bubble) using current very low rates will be totally shafted when rates will go up, maybe it will take 3-5 years but they will certainly not stay at 0.5% forever: ECB is already moving them up.

Look at Japan. Base rates near zero for over a decade.

Nothing is going to shift rates up in the USA or UK.

In 10 years you could pay the mortgage off. No more rent ever!

[AtW]

Look at Japan. Base rates near zero for over a decade.

They didn't have inflation at 5% pa (that's official).

Just wait till wages will be forced up to compensate for inflation here - maybe 2-3 more years but after that rates will have to go up one way or another.

[shaunbhoy]

They didn't have inflation at 5% pa (that's official).

Just wait till wages will be forced up to compensate for inflation here - maybe 2-3 more years but after that rates will have to go up one way or another.

[AtW]

I'll get a boat after I'll get house and a car (or two). I'll call my boat - "Done coding"

[shaunbhoy]

I'll call my boat - "Done coding"

And paint it with Seaman Stains.

[Lockhouse]

I've just taken on a big mortgage. Better than saving.

[AtW]

I've just taken on a big mortgage. Better than saving.

It's crazy how given this whole debt crisis the Bank is getting debt more desirable.

I am going to US Embassy tomorrow to apply for a work permit there. At least the houses are cheap, massive in size and plenty of legal guns to spend your hard earned savings on.

Goodbye my children, see you on the other side.