eric pebble Posted November 12, 2005 Share Posted November 12, 2005 Interest rate freeze means uncertainty for house prices 10th November 2005 12:41 Property prices over the festive period could see a bigger than usual dip thanks to the Bank of England's (BoE) decision to maintain a freeze on interest rates, the managing director of SmartNewHomes.com claims. http://www.londonstockexchange.com/en-gb/p...icleID=15087557 Quote Link to comment Share on other sites More sharing options...
The Masked Tulip Posted November 12, 2005 Share Posted November 12, 2005 So, if he thinks that the IR freeze will provide a bigger than usual dip what does he think about the financial futures markets already factoring in IR increases in the UK in the New Year. Sounds like HPs are going down in 2006 and onwards. Quote Link to comment Share on other sites More sharing options...
CrashedOutAndBurned Posted November 12, 2005 Share Posted November 12, 2005 Yes, a few kamikaze buyers will have been hoodwinked with a combination of 'SIPP terror' and 'interest rate cuts a dead-cert' by the VIs. A few .25 increases last year has already send repos rising at a rapid rate. Any rises at all and 2006 can be nothing more than a constant slide for the market. Quote Link to comment Share on other sites More sharing options...
laughing_goat Posted November 12, 2005 Share Posted November 12, 2005 I think we need some IR rises next year, I don't think an IR at 4.5% will do much to HPI. Hopefully they will be at least 5%. Quote Link to comment Share on other sites More sharing options...
Recommended Posts
Join the conversation
You can post now and register later. If you have an account, sign in now to post with your account.