Georgia O'Keeffe Posted November 5, 2012 Share Posted November 5, 2012 Any 10 year fixed still around?? Or are banks afraid of inflation in the medium term? fill yer boots Quote Link to comment Share on other sites More sharing options...
Tired of Waiting Posted November 5, 2012 Share Posted November 5, 2012 fill yer boots feck geeez thanks, I guess... speechless feck Quote Link to comment Share on other sites More sharing options...
libspero Posted November 5, 2012 Share Posted November 5, 2012 (edited) Another added mortgage cost being introduced from January is the compulsory charging for all mortgage advice. So when you walk into your high street bank and ask for the mortgage you've seen on the price comparison site, you will soon have to pay an additional mandatory charge for the "advice" you receive. Bought to you by your best buddies at the FSA.. Linky Edited November 5, 2012 by libspero Quote Link to comment Share on other sites More sharing options...
Crashman Begins Posted November 6, 2012 Share Posted November 6, 2012 fill yer boots Is this available to the uk Quote Link to comment Share on other sites More sharing options...
Tired of Waiting Posted November 6, 2012 Share Posted November 6, 2012 Is this available to the uk Even if it were, remember that it's a loan in Swiss Francs, to be repaid in Swiss francs. If (when) sterling goes down, your debt won't. Or, from the UK/Sterling perspective, the debt will go up. Quote Link to comment Share on other sites More sharing options...
rantnrave Posted November 6, 2012 Share Posted November 6, 2012 Discussion on the thread re today's Halifax numbers - do the Haliwide indices rise and fall roughly in line with the rates they are offering on their mortgages? Quote Link to comment Share on other sites More sharing options...
the_duke_of_hazzard Posted November 6, 2012 Author Share Posted November 6, 2012 Discussion on the thread re today's Halifax numbers - do the Haliwide indices rise and fall roughly in line with the rates they are offering on their mortgages? Nice idea for a graph... Quote Link to comment Share on other sites More sharing options...
the_duke_of_hazzard Posted November 7, 2012 Author Share Posted November 7, 2012 http://themortgagemeter.com/#/latest_changes Minor changes to some Halifax rates today. Quote Link to comment Share on other sites More sharing options...
FreeTrader Posted November 9, 2012 Share Posted November 9, 2012 The BoE has updated its database with quoted market interest rates for October 2012. This is the chart I last posted three months ago. It shows that fixed 2-yr and 5-yr rates have come down recently (presumably due to FLS), but the average SVR continues to creep upwards, now standing at 4.35%. Quote Link to comment Share on other sites More sharing options...
the_duke_of_hazzard Posted November 9, 2012 Author Share Posted November 9, 2012 Thanks FT - is that exactly 75% LTV, or 75% and below? Do you have a link to the source of the data's methodology? The BoE has updated its database with quoted market interest rates for October 2012. This is the chart I last posted three months ago. It shows that fixed 2-yr and 5-yr rates have come down recently (presumably due to FLS), but the average SVR continues to creep upwards, now standing at 4.35%. Quote Link to comment Share on other sites More sharing options...
Tired of Waiting Posted November 9, 2012 Share Posted November 9, 2012 The BoE has updated its database with quoted market interest rates for October 2012. This is the chart I last posted three months ago. It shows that fixed 2-yr and 5-yr rates have come down recently (presumably due to FLS), but the average SVR continues to creep upwards, now standing at 4.35%. Presumably 10 year fixed are still too rare to be charted, and the FLS is not motivating banks to offer them, at similarly low rates. Do you think the FLS will eventually incentivise banks to offer more and cheaper 10 year fixed? Or the FLS' design is tilted to the short term? Weird if it is, as IIRC some time ago Mervyn seemed keen on longer term fixed mortgages, as they offer greater stability, for both sides, lenders and borrowers, and consequently for the wider economy as well. Quote Link to comment Share on other sites More sharing options...
FreeTrader Posted November 9, 2012 Share Posted November 9, 2012 Thanks FT - is that exactly 75% LTV, or 75% and below? Do you have a link to the source of the data's methodology? Explanatory notes are here. Quote Link to comment Share on other sites More sharing options...
FreeTrader Posted November 9, 2012 Share Posted November 9, 2012 Presumably 10 year fixed are still too rare to be charted, and the FLS is not motivating banks to offer them, at similarly low rates. Do you think the FLS will eventually incentivise banks to offer more and cheaper 10 year fixed? Or the FLS' design is tilted to the short term? Weird if it is, as IIRC some time ago Mervyn seemed keen on longer term fixed mortgages, as they offer greater stability, for both sides, lenders and borrowers, and consequently for the wider economy as well. The BoE has a 10-year fixed 75% LTV series in its database, but it stopped updating it August 2009. The FLS has to be short-term by design. This is because the method used to reduce banks' funding costs puts the government on very thin ice. The Treasury Bills loaned to the banks don't actually form part of official public debt - so we have these billions in govt promises being used as collateral in the wholesale markets, but they're not classed as state liabilities. The European Commission came very close to insisting that we add the T-Bills to public debt when the Special Liquidity Scheme was operative (which worked in a similar manner to FLS), but the Commission backed off when a similar scheme was used in Greece (and Portugal as well IIRC). It's the short-term nature of this liquidity support that allows the govt to get away with this. A ten-year facility (or beyond) would quite likely have to be consolidated into the public accounts. I suppose one possibility would be to allow banks to securitise 10-year or 25-year fixed-rate mortgages (say) and the BoE would then buy them instead of gilts under QE. Who knows, maybe we'll see that in due course – nothing would really surprise me these days. Quote Link to comment Share on other sites More sharing options...
Tired of Waiting Posted November 9, 2012 Share Posted November 9, 2012 The BoE has a 10-year fixed 75% LTV series in its database, but it stopped updating it August 2009. The FLS has to be short-term by design. This is because the method used to reduce banks' funding costs puts the government on very thin ice. The Treasury Bills loaned to the banks don't actually form part of official public debt - so we have these billions in govt promises being used as collateral in the wholesale markets, but they're not classed as state liabilities. The European Commission came very close to insisting that we add the T-Bills to public debt when the Special Liquidity Scheme was operative (which worked in a similar manner to FLS), but the Commission backed off when a similar scheme was used in Greece (and Portugal as well IIRC). It's the short-term nature of this liquidity support that allows the govt to get away with this. A ten-year facility (or beyond) would quite likely have to be consolidated into the public accounts. I suppose one possibility would be to allow banks to securitise 10-year or 25-year fixed-rate mortgages (say) and the BoE would then buy them instead of gilts under QE. Who knows, maybe we'll see that in due course – nothing would really surprise me these days. Thank you again FT - impressive reply, very knowledgeable and clear. " Respec " ! Quote Link to comment Share on other sites More sharing options...
Democorruptcy Posted November 9, 2012 Share Posted November 9, 2012 I suppose one possibility would be to allow banks to securitise 10-year or 25-year fixed-rate mortgages (say) and the BoE would then buy them instead of gilts under QE. Who knows, maybe we'll see that in due course – nothing would really surprise me these days. That's got to come but Merv might be hoping he can slip away before then. I think it's what Turner was alluding to when it was reported as him suggesting a helicopter drop. Quote Link to comment Share on other sites More sharing options...
19 year mortgage 8itch Posted November 9, 2012 Share Posted November 9, 2012 That's got to come but Merv might be hoping he can slip away before then. I think it's what Turner was alluding to when it was reported as him suggesting a helicopter drop. I assume this is your 2014 trigger Quote Link to comment Share on other sites More sharing options...
Democorruptcy Posted November 9, 2012 Share Posted November 9, 2012 I assume this is your 2014 trigger What's my 2014 trigger? Quote Link to comment Share on other sites More sharing options...
19 year mortgage 8itch Posted November 9, 2012 Share Posted November 9, 2012 What's my 2014 trigger? Direct securitisation. You were describing the other day how you thought they would take a course of action and at that point you jump in too. Quote Link to comment Share on other sites More sharing options...
Democorruptcy Posted November 9, 2012 Share Posted November 9, 2012 Direct securitisation. You were describing the other day how you thought they would take a course of action and at that point you jump in too. Can you remember which thread? Was it the OBR forecasts of HPI from 2014-2017? I don't recall saying I would be jumping in to anything, though I do admit I had some 7.4% beer this week. (Shut up Winkie) Quote Link to comment Share on other sites More sharing options...
the_duke_of_hazzard Posted November 10, 2012 Author Share Posted November 10, 2012 Drops from Halifax/Lloyds: http://themortgagemeter.com/#/latest_changes Quote Link to comment Share on other sites More sharing options...
Tired of Waiting Posted November 10, 2012 Share Posted November 10, 2012 Drops from Halifax/Lloyds: http://themortgagemeter.com/#/latest_changes They already didn't offer any 10 years fixed. Now they have removed all 7 years fixed as well. I think this may be indicative of their fears over long term interest rates and inflation. Quote Link to comment Share on other sites More sharing options...
the_duke_of_hazzard Posted November 17, 2012 Author Share Posted November 17, 2012 Natwest now offering a 2.29% 60% LTV for existing customers moving home. Fancy trading down to improve their books? http://themortgagemeter.com/#/latest_changes Quote Link to comment Share on other sites More sharing options...
Tired of Waiting Posted November 21, 2012 Share Posted November 21, 2012 Natwest now offering a 2.29% 60% LTV for existing customers moving home. Fancy trading down to improve their books? http://themortgagemeter.com/#/latest_changes Meanwhile, 10 year fixed are still expensive. The best 75% LTV has an APR of 5.3%. http://www.money.co.uk/mortgages/10-year-fixed-rate-mortgages.htm Funding for lending is not helping here. And since we can't know what will happen with inflation and IRs between 5 and 10 years time, I think it is very risky to buy without a 10 year fixed. Quote Link to comment Share on other sites More sharing options...
the_duke_of_hazzard Posted December 1, 2012 Author Share Posted December 1, 2012 HSBC now offering a 1.99% two year fix at 60%LTV. That's down 0.4%! That and other changes here: http://themortgagemeter.com/#/latest_changes Quote Link to comment Share on other sites More sharing options...
Bloo Loo Posted December 1, 2012 Share Posted December 1, 2012 HSBC now offering a 1.99% two year fix at 60%LTV. That's down 0.4%! That and other changes here: http://themortgageme.../latest_changes lending is the answer to everything. Greek Debt, Euro imbalance, house buying, paying for your food, bonuses and Government largess.. Its all possible with lending. Quote Link to comment Share on other sites More sharing options...
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