Will UK mortgage rates rise or fall ?

[Streetwalker]

Margaret Thatcher's legacy.

Not really . Thatchers government built plenty of council houses . The problem was future governments didnt while retaining the right to buy '

 Thatcher built more council homes in one year than New Labour did during its entire term in office 

[Nick]

Margaret Thatcher's legacy.

Maggie's legacy is that she gave everyone a sense of respect in owning their own home. 12 years of Labour did nothing to increase social housing. 

[papasmurf]

 Problem now is that the council houses are not there anymore.

Margaret Thatcher's legacy.

[Nick]

The problem as I see it is that with many homebuyers stretched to the limit with fixed 2 year 1-2% mortgages coming to an end those homes will become unafordable with current deals around 4.5%.
The economists can forecast whatever they like but a rate rise will see a housing crisis (as if we didnt already have one ) like never before  and the collapes of the housing market .

The tories can't afford for this to happen , lose middle Englands home buyers and they may as well give Starmer the keys to no 10 without a fight  .

For those reasons mortgage rates will fall , at least untill after the next election

Same old story, people buying what they can't or can only just afford: 2008 all over. 
A system where everybody has access to luxury items was never going to be sustainable and a reset inevitable. Problem now is that the council houses are not there anymore. 

[Streetwalker]

We have a property at the arse end of the empire i.e outside the M25 and to my of thinking it is all win win. With inflation going through the roof its value is increasing while we are just doing sod all so that, if not actually making money, we are better than off than having cash in the bank.

So things are good.

Except can we put the cherry on the cake? My assumption has always been that as the world's economy improves, then there will a greater demand for money, which means the price, and therefore mortgages rates, will rise. But we live in a funny old world and the latest projections are for mortgage rates to fall.

It is my belief that most economic forecasts depend on how well the forecaster has dined and aren't to be relied upon beyond the weekend. Still, what is your take ? Will mortgage rates rise or fall ?

The problem as I see it is that with many homebuyers stretched to the limit with fixed 2 year 1-2% mortgages coming to an end those homes will become unafordable with current deals around 4.5%.
The economists can forecast whatever they like but a rate rise will see a housing crisis (as if we didnt already have one ) like never before  and the collapes of the housing market .

The tories can't afford for this to happen , lose middle Englands home buyers and they may as well give Starmer the keys to no 10 without a fight  . 

For those reasons mortgage rates will fall , at least untill after the next election 

[Unlucky4Sum]

Nothing wrong with Sussex. Excellent place and we have to have somewhere to keep the lawnmower.

You are probably right about the mortgage rate. Up and down like a working girl's undies. If inflation is running at 10%, we are probably better off just paying off a chuck off the actual mortgage, rather than wondering if the rate is going to rise or fall by a shilling or two

That's what we did years ago.  As the mortgage rate fell we just paid off more.  Result: it was paid off 11 years early and I then stuffed the same money we were paying into Pension AVCs.  And they really helped me when I got to my late 50s and knew I was getting past my best before date work wise.

[Borchester]

'Arse end of the empire'?  Nah here in leafy Sussex we just love being outside the M25 (but able to use it when we wish, like tomorrow for me)

Economic forecasts are all a bit like finding the least worst intelligent guess but they do give a guide as how good or bad the underlying conditions are.  And people and media don't tend to read/publish the assumptions the forecasters has pinned to those forecasts.

Anyway that said I (with no economic qualifications whatsoever) predict mortgage rates at year end will be (just) lower than now but will go up before summer 

Nothing wrong with Sussex. Excellent place and we have to have somewhere to keep the lawnmower.

You are probably right about the mortgage rate. Up and down like a working girl's undies. If inflation is running at 10%, we are probably better off just paying off a chuck off the actual mortgage, rather than wondering if the rate is going to rise or fall by a shilling or two

[Unlucky4Sum]

We have a property at the arse end of the empire i.e outside the M25 and to my of thinking it is all win win. With inflation going through the roof its value is increasing while we are just doing sod all so that, if not actually making money, we are better than off than having cash in the bank.

So things are good.

Except can we put the cherry on the cake? My assumption has always been that as the world's economy improves, then there will a greater demand for money, which means the price, and therefore mortgages rates, will rise. But we live in a funny old world and the latest projections are for mortgage rates to fall.

It is my belief that most economic forecasts depend on how well the forecaster has dined and aren't to be relied upon beyond the weekend. Still, what is your take ? Will mortgage rates rise or fall ?

'Arse end of the empire'?   Nah here in leafy Sussex we just love being outside the M25 (but able to use it when we wish, like tomorrow for me)

Economic forecasts are all a bit like finding the least worst intelligent guess but they do give a guide as how good or bad the underlying conditions are.  And people and media don't tend to read/publish the assumptions the forecasters has pinned to those forecasts.

Anyway that said I (with no economic qualifications whatsoever) predict mortgage rates at year end will be (just) lower than now but will go up before summer  

[Borchester]

We have a property at the arse end of the empire i.e outside the M25 and to my of thinking it is all win win. With inflation going through the roof its value is increasing while we are just doing sod all so that, if not actually making money, we are better than off than having cash in the bank.

So things are good.

Except can we put the cherry on the cake? My assumption has always been that as the world's economy improves, then there will a greater demand for money, which means the price, and therefore mortgages rates, will rise. But we live in a funny old world and the latest projections are for mortgage rates to fall.

It is my belief that most economic forecasts depend on how well the forecaster has dined and aren't to be relied upon beyond the weekend. Still, what is your take ? Will mortgage rates rise or fall ?