Jump to content
House Price Crash Forum
Sign in to follow this  
AvidFan

Experts Predict August Rate Rise

Recommended Posts

http://www.thisismoney.co.uk/news/article....e_id=2&ct=5

Millions of homeowners are facing further mortgage misery. Economists said today another increase in the cost of borrowing is almost certain and could come next month.

It would be the sixth since last August and take the Bank of England's base rate from its present 5.75% to 6%, the highest level since February 2001.

Goal! :rolleyes:

Share this post


Link to post
Share on other sites
Guest The_Oldie
Fears of an interest rate rise increased when figures were released today showing that prices are rising too quickly.

Fears of an interest rate rise? It's great news for savers!

Share this post


Link to post
Share on other sites
Glad to see you updated your signature, Levy. :P

Can we have the calm, rational discussion now or are we going to have to wait until December?

No, let's wait until December. I'll probably be more wrong than now! LOL!

Share this post


Link to post
Share on other sites
Guest grumpy-old-man
No, let's wait until December. I'll probably be more wrong than now! LOL!

Levy Process, I'm very impressed with the fact that you have changed your sig to reflect your earlier prediction. :)

There's not many that would do it, they would just get another username.

I have watched your sentiment change over the last 6 months, we had a few differences of opinion last year (all good fun of course). ;)

I don't mean to sound patronising in any way.

Share this post


Link to post
Share on other sites

I am a saver. I don't want the extra increase because it will hit the little people who weren't overspending. It is a shame there isn't a mechanism to protect the basic non-greedy home but hit the credit card debts/over spenders/high street shopping whores etc.

I don't want to see a crash. Yes I'd like to think that over time prices would stabilise/drop a bit, so I could get a bit more for my savings. But I don't want to cash in the misfortune of somebody else who might have just had a change of circumstances causing them to have to bail out.

As the next property I buy will be a 1-bedroomed little place I am fearful that I am buying somebody's lost dream, and I don't want that.

:(

However, I think the rates won't go up in August. I think it is [a] too soon after the last one -and- slap bang in the middle of the summer holiday period and at a time when the housing market I believe traditionally goes a bit dead, I think they will sit on it and see what August's figures are like. Maybe even September's before nudging it up in October if needed.

P.S. I'm not even vaguely knowledgeable, so don't waste your time next month pointing out how wrong I was here. Just my opinion.

Share this post


Link to post
Share on other sites

Well I'm hoping for a rate rise ASAP. I'm a 'saver', and am planning to emigrate in December, so anything to help my interest earnings and keep my sterling savings strong is a bonus.

On the day the rates went up to 5.75% my girlfriend & I went out for a celebratory meal - we plan to do that for each rise!

Share this post


Link to post
Share on other sites

Moneyweek undertake round table discussions on property every now and again. They get a number of experts together such as Ian Wrigglesworth (strongly bullish). In her interview, on CWR, the other week, Meryn Somerset Webb talked about the last housing round table. In this discussion, she asked the experts what they thought would be the one main factor that would turn the UK Property market round. They all agreed that it would be 6% interest rates.

2-0 (in the 89th minute)

You can find the UK Property discussion here

Share this post


Link to post
Share on other sites
Well I'm hoping for a rate rise ASAP. I'm a 'saver', and am planning to emigrate in December, so anything to help my interest earnings and keep my sterling savings strong is a bonus.

On the day the rates went up to 5.75% my girlfriend & I went out for a celebratory meal - we plan to do that for each rise!

mcdonalds_logo.jpeg

mcdonalds_logo.jpeg

post-1700-1184700479_thumb.jpg

Share this post


Link to post
Share on other sites

consecutive rate rises at current IR would indicate that behind the scenes is a great big effin monster- :o

Share this post


Link to post
Share on other sites
consecutive rate rises at current IR would indicate that behind the scenes is a great big effin monster- :o

Much as I hate to be a party pooper, does this article actually quote any experts or economists? :unsure:

Share this post


Link to post
Share on other sites

Betfair odds are currently 8.4 i.e. over 7/1 against a .25% rise in the interest rate in August. So if you believe the 'experts' - wade in!

'No change' is currently trading at 14/1 ON!

The money is on no change it would seem. But b*ll*cks I've put my cash on a .25 rise. But then again, I backed Vinokourov to win the Tour de France!

Share this post


Link to post
Share on other sites

"It will be alarming news for Gordon Brown's new government and raises the risk of a house price crash."

:lol::lol::lol:

Share this post


Link to post
Share on other sites
August my ****! Haven't the markets been pricing in September for a few months? This is the BoE we are talking about, it's not like they are going to suddenly become all proactive and actually try and target their 2% mandate!

B*ll*cks. Do you think there is any chance that betfair will give me my money back?

Share this post


Link to post
Share on other sites
I don't want to see a crash. Yes I'd like to think that over time prices would stabilise/drop a bit, so I could get a bit more for my savings. But I don't want to cash in the misfortune of somebody else who might have just had a change of circumstances causing them to have to bail out.

As the next property I buy will be a 1-bedroomed little place I am fearful that I am buying somebody's lost dream, and I don't want that.

To your credit.

Share this post


Link to post
Share on other sites

Another HPC poster (thanks) pointed us to this chart:

http://www.kshitij.com/utilities/funcharts/ukboe.shtml

Shows that the MPC just follows the LIBOR rate with an orange crayon :) It takes them up to 3 months to get the crayon out of the packet on the way up, one month on the way down.

The figures are up-to-date (last entry July 12th), LIBOR up, MPC up... and fast. No hints of a permanently high plateau yet.

VMR.

Share this post


Link to post
Share on other sites

Join the conversation

You can post now and register later. If you have an account, sign in now to post with your account.

Guest
Reply to this topic...

×   Pasted as rich text.   Paste as plain text instead

  Only 75 emoji are allowed.

×   Your link has been automatically embedded.   Display as a link instead

×   Your previous content has been restored.   Clear editor

×   You cannot paste images directly. Upload or insert images from URL.

Loading...
Sign in to follow this  

  • Recently Browsing   0 members

    No registered users viewing this page.

  • 354 The Prime Minister stated that there were three Brexit options available to the UK:

    1. 1. Which of the Prime Minister's options would you choose?


      • Leave with the negotiated deal
      • Remain
      • Leave with no deal



×
×
  • Create New...

Important Information

We have placed cookies on your device to help make this website better. You can adjust your cookie settings, otherwise we'll assume you're okay to continue.