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Ash4781

Households' Sensitivity To Interest Rates

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http://www.bbc.co.uk/news/business-13408506

Households' sensitivity to interest rates was seen as particularly acute, with 69% of mortgages on variable rate, and 43% of them interest-only.

This UK retailers facing tough decade, Item Club reporting has been posted (as Guardian article) but I read the above in the BBC article.

Is the percentage of interest only mortgages? 69%*43%?

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http://www.bbc.co.uk/news/business-13408506

This UK retailers facing tough decade, Item Club reporting has been posted (as Guardian article) but I read the above in the BBC article.

Is the percentage of interest only mortgages? 69%*43%?

I read it as 69% of all mortgages are on a variable rate coz why not, its not like the BoE will raise at any point. And 43% of all are on interest only coz why not the house will pay off the mortgage at the term.

Edit. So almost half of the muppets think they are buying a house whilst not understanding the mortgage product that they have chosen except that on paper at the time they took it it worked out as less out of the pay each month, must've been a good deal.

Edited by zebbedee

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And 43% of all are on interest only coz why not the house will pay off the mortgage at the term.

Don't forget many people are still on 5yr fixed which predate 2007

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There are a lot of people out there on IO mortgages who are waiting for the Bank of Mum and Dad to give the whole contents of the Bank valuts over when they pop their cloggs. They are form the first generation to be getting the benefit of large inheritances. For some the bank will pay out for others if Mum and Dad end up in a home or decided to spend the money on crusies and or give it to charity they will be mightly fked as they have no other option for financial security.

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  • 312 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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