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patientFTB

Short Stories That Caught My Attention

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A few things that caught my eye on the train this morning;

Mortgage boost as bank cuts rate

Homeowners got a boost from the Bank of England yesterday as the interest rate was cut to 4.5 per cent. The 0.25 per cent reduction should see about £15 a month knocked off a £100,000 mortgage. Those with a £150,000 loan will enjoy a £25 cut, while borrowers with £80,000 outstanding will save £12.

Jim Buckle, of propertyfinger.com, said the reduction was badly needed. Without the cut 'the housing market would have quickly sunk bank into the doldrums', he added. Philip Davies, of Linden Homes, said the drop would 'act as a spur to the autumn market'. It would give consumer confidence 'a huge boost'.

Yep... I can hear those estate agent's phones buzzing already :D

Anne's £3.5m pad is strongest link

Weakest link presenter Anne Robinson banked nearly £3.5million yesterday after selleing her Cotswolds home. The 60-year-old bought Field House, near Bibury, Gloucestershire, for £200,000 in 1994. She has added several extensions to the bungalow which now has an indoor pool and six bathrooms.

200k to 3.5m. Not bad in 11 years :o I wonder how much she spent on the extensions...?

Edited by patientFTB

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that woman makes so much money. even coins in on the housing boom.

the media is run my VIs it seems.

come on you maggotts. now is the perfect time to indebt yourselves to media hype.

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Surely choosing to fix is just as much a gamble as going for variable?

If you fix you know WHAT you will be paying, but you have no idea whether you will save money compared with a variable rate deal.

I concluded that banks charge a premium for the 'certainty' of a fixed rate, but that on average the (discounted) variable rate deals work out cheaper.

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I looked into a ten year fixed rate with the Co-op. Not a bad deal just over 6% before the cut.

Last time we had a big economic power rising in the east and hifg oil prices was back in the seventies. Go look at the data from back then. I recon inflation and interest rates have well and truely bottomed out. Both are heading up and it could be quite fast. I just hope the market falls fast enough to justify jumping befroe that 10 year deal disappears!

If I can time it right I'll be quids in. :)

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I just hope the market falls fast enough to justify jumping befroe that 10 year deal disappears!

If I can time it right I'll be quids in.  :)

That's my point. Fixing is a gamble. If things don't turn out as you expect, 6% is a pretty steep rate to be paying. I'm on 4.4%, soon to fall to 4.15% (I hope). That's a guaranteed saving already which you will have to make up in the future.

Good luck.

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"Mortgage boost as bank cuts rate

Homeowners got a boost from the Bank of England yesterday as the interest rate was cut to 4.5 per cent. The 0.25 per cent reduction should see about £15 a month knocked off a £100,000 mortgage."

NOPE.

They should have said (to be accurate):

"...for those willing to gamble on floating rates..."

And the should have added "... and whose lender happens to feel generous enough to pass on the decrease in these days of increased default risk... "

Not all SVRs are guaranteed to follow the base rate, right?

frugalista

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  • 302 Brexit, House prices and Summer 2020

    1. 1. Including the effects Brexit, where do you think average UK house prices will be relative to now in June 2020?


      • down 5% +
      • down 2.5%
      • Even
      • up 2.5%
      • up 5%



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