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Tory Country


Section_31
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42 minutes ago, Moo said:

What do people think about 10 year fixes?  Too risky to take for that long? Or a good thing if a good rate?

I took out a 10 year fixed in 2021 at 2.85%. That will take me to within 6 months of the end of my mortgage term anyway so it was a no brainer. Glad I did it, I like to know how much I'll be paying every month for a good length of time.

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56 minutes ago, Scooby Dudek said:

Whilst it was good it was on, great that what he said was completely ignored with basically repeating "high inflation, means increase interest rates, so whilst bad what can you do ?"

Aren't we always taught to try different solutions for different problems. The drivers behind the current inflation crisis are atypical so how can anyone in their right mind let alone 'experts' truly believe that the typical solution will work. In short we are fucking well being had off. Greedy bastards rule the roost.

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1 hour ago, Gnasher said:

Shocked to see the BBC let Murphy on politics live this afternoon. Unfortunately his words will fall on deaf ears. That 0.5% rise today makes a quick and easy 4.5 billion using money they don't own for the big banks and institutions. Thirteenth rise in a row, didn't work, doesn't work, won't work. Inflation will fall slightly but stay high and we'll fall into recession.

 

 

The ignorant rump of this country are nothing more than gimps.  The people that are profiteering from others' stupidity are actually not much smarter than the stupid ones, they just have malevolent forces being them in all channels pushing the lie that there is no other way. 

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It's funny how attitudes to interest rates have changed. They were 6% when Labour came to power in 1997, and they promptly increased them to 7.5%.

 

They were 0.5% through the entirety of the evil coalition years, of course.

 

What's even funnier is how people can be negged just for stating facts.

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1 hour ago, Skidfingers McGonical said:

I wish we’d have the 7 year offer put to us in 2018. We were pushed for a 2 year rate at 1.7% but, like yourself, spooked by Johnson and Brexit looming, I opted for 2.15% until Jan 2025. 
 

God only knows what that’s going up to when it’s due for renewal. 

 

Will you have much left on your mortgage by then? We've been paying extra off each month so by the time the fix finishes, we may be able to pay off the remainder straight away (if we don't get completely shafted by these incompetent crooks in the meantime). I'd shove as much as you can afford at it in the meantime if your lender permits it.

 

Your post though, and the ones following regarding the potential risks of 10 year fixes just outline how fucking stupid the mortgage market is.  We've been conditioned to think choice and competition are always good, but in this case, we're trying to place a bet on which product we should use to pay for the biggest purchase of our life. And we have no control of what the conditions for the gamble will be in a month's time, never mind years in the future.

 

This article outlines how more sane countries (including even the US!) run their housing/ mortgage markets, with the risk of a dogshit, incompetent government's actions causing a financial meltdown largely taken out of the equation.

 

https://www.theguardian.com/money/2023/jun/20/mortgage-cost-rises-just-dont-happen-here-how-other-countries-compare-with-the-uk

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1 hour ago, Gnasher said:

Shocked to see the BBC let Murphy on politics live this afternoon. Unfortunately his words will fall on deaf ears. That 0.5% rise today makes a quick and easy 4.5 billion for the big banks and institutions. Thirteenth rise in a row, didn't work, doesn't work, won't work. Inflation will fall slightly but stay high and we'll fall into recession.

 

 

 

Depends on what "works" means to you. I suspect it will work exactly as they want it to. The submarine holidaying type will make hay while the ordinary man suffers. That's the cycle of life.

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35 minutes ago, Strontium said:

It's funny how attitudes to interest rates have changed. They were 6% when Labour came to power in 1997, and they promptly increased them to 7.5%.

 

They were 0.5% through the entirety of the evil coalition years, of course.

 

What's even funnier is how people can be negged just for stating facts.

It's not the same thing at all - wasn't the average house price around 3x salary at that point, whereas now it's cloer to 12x salary. So people have a lot more riding on their mortgages, and each increase hits that much harder.

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22 minutes ago, sh#t waffle said:

It's not the same thing at all - wasn't the average house price around 3x salary at that point, whereas now it's cloer to 12x salary. So people have a lot more riding on their mortgages, and each increase hits that much harder.

 

Not to mention years of austerity and a cost of living crisis. 

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24 minutes ago, sh#t waffle said:

It's not the same thing at all - wasn't the average house price around 3x salary at that point, whereas now it's cloer to 12x salary. So people have a lot more riding on their mortgages, and each increase hits that much harder.

 

Exactly.

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32 minutes ago, No2 said:

Depends on what "works" means to you. I suspect it will work exactly as they want it to. The submarine holidaying type will make hay while the ordinary man suffers. That's the cycle of life.

 

Unfortunately I think you're probably right.

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53 minutes ago, Mudface said:

 

Will you have much left on your mortgage by then? We've been paying extra off each month so by the time the fix finishes, we may be able to pay off the remainder straight away (if we don't get completely shafted by these incompetent crooks in the meantime). I'd shove as much as you can afford at it in the meantime if your lender permits it.

 

Your post though, and the ones following regarding the potential risks of 10 year fixes just outline how fucking stupid the mortgage market is.  We've been conditioned to think choice and competition are always good, but in this case, we're trying to place a bet on which product we should use to pay for the biggest purchase of our life. And we have no control of what the conditions for the gamble will be in a month's time, never mind years in the future.

 

This article outlines how more sane countries (including even the US!) run their housing/ mortgage markets, with the risk of a dogshit, incompetent government's actions causing a financial meltdown largely taken out of the equation.

 

https://www.theguardian.com/money/2023/jun/20/mortgage-cost-rises-just-dont-happen-here-how-other-countries-compare-with-the-uk

 

Just the 20 years. Be paid off when I still have 10 years before I retire, so can start saving that money at 63. Get in!

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3 hours ago, Skidfingers McGonical said:

I wish we’d have the 7 year offer put to us in 2018. We were pushed for a 2 year rate at 1.7% but, like yourself, spooked by Johnson and Brexit looming, I opted for 2.15% until Jan 2025. 
 

God only knows what that’s going up to when it’s due for renewal. 

 

Sorry this should be Jan 2020. Just before the pandemic kicked in. Which we then had to extend by three months as I had decided self employment was the way forward. Great timing, and I feel like I have been chasing my tail ever since. 

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1 hour ago, sh#t waffle said:

It's not the same thing at all - wasn't the average house price around 3x salary at that point, whereas now it's cloer to 12x salary. So people have a lot more riding on their mortgages, and each increase hits that much harder.

Exactly. If 12 increases did not bring the inflation down why would any fuckwit think the 13th will? 

BOE cunting boss has said the rate of salary increase has to come down. I mean wtf??!! They want to hit people with more interest but not enough incoming money to pay it. Suffocate them so they don't have anything to spend so the inflation will come down as people cannot fucking buy anything anymore.

 

When do these fuckwits realize that Russia and Brexit are the main reasons for inflation and not fucking interest rates.

 

It's almost as if the rich Prime Minister has promised to bring the inflation down at any cost......oh wait!

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2 hours ago, sh#t waffle said:

It's not the same thing at all - wasn't the average house price around 3x salary at that point, whereas now it's cloer to 12x salary. So people have a lot more riding on their mortgages, and each increase hits that much harder.

 

Some people are just utterly clueless.

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2 hours ago, sh#t waffle said:

It's not the same thing at all - wasn't the average house price around 3x salary at that point, whereas now it's cloer to 12x salary. So people have a lot more riding on their mortgages, and each increase hits that much harder.

 

Let's not overegg the pudding. They were about 5x earnings in 1998, it's about 9x now, and that's a figure which is heavily skewed by the insane prices in London.

 

But yes, clearly we need to build more houses.

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I've always fixed the longer the better for me , but for the last 12 months or so I've been on the Santander variable rate I'm lucky that I'm down to around 10 grand and into the last 2 years of the mortgage so luckily although my payments have increased by £30 or so in this time its something I can absorb. 

The reason I've stuck on the variable rate is I'm about to be made redundant and want the flexibility to pay it off once I'm in a position to do so , but if I had more than 5 years left then I'd be jumping all over the lowest fixed rate I could find because these interest rates aren't coming down any time soon imo .

Especially with these clowns in charge anyway 

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5 minutes ago, Tj hooker said:

I've always fixed the longer the better for me , but for the last 12 months or so I've been on the Santander variable rate I'm lucky that I'm down to around 10 grand and into the last 2 years of the mortgage so luckily although my payments have increased by £30 or so in this time its something I can absorb. 

The reason I've stuck on the variable rate is I'm about to be made redundant and want the flexibility to pay it off once I'm in a position to do so , but if I had more than 5 years left then I'd be jumping all over the lowest fixed rate I could find because these interest rates aren't coming down any time soon imo .

Especially with these clowns in charge anyway 

 

That's a life win that 10k on the mortgage. Mine is like my student debt, it never goes down. It's almost like it's all bollocks.

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It is indeed a bitter pill and a foul taste of medicine but for those who lose their homes with their little ones on the streets if they voted Tory they can at least trudge the cobbles with a sense of pride in helping keep the menace that is Jeremy Corbyn out of Downing Street 

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7 minutes ago, Section_31 said:

 

That's a life win that 10k on the mortgage. Mine is like my student debt, it never goes down. It's almost like it's all bollocks.

Must be a bastard that,  I'm digging down into the capital now with hardly much interest so every month I see a big reduction in what I owe .

I really feel for people trying to manage rises of potentiallly hundreds of pounds a month it must be a fucking nightmare 

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3 hours ago, Strontium said:

It's funny how attitudes to interest rates have changed. They were 6% when Labour came to power in 1997, and they promptly increased them to 7.5%.

 

They were 0.5% through the entirety of the evil coalition years, of course.

 

What's even funnier is how people can be negged just for stating facts.


So what you are saying is that when labour took over in 1997, interest rates were sky high at 6%. By the time they lost they lost power, they were around 0.5%. I’d say that was pretty good fucking going to be fair.

 

Now after 13 years of Tory rule, they are sky high again!!!

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Although the base rates are increasing people’s arrears figures, they are actually surprising people’s cycle of delinquency.

 

You are in breach of the your mortgage contact at 2 missed payments. 
 

However, the amount of people bouncing between 1 and 2 is quite large, most lenders won’t start legal action until 3 cycles and that’s only if you’re unengaged, if you speak to the bank, make payments, carry out actions etc it will be significantly longer. 
 

Anyway, say your monthly payment is £500 and you have missed 3 payment and have £1500 arrears. Legal action could begin. Another rate rise and your payment becomes £550. You’re arrears figure stays the same but your payment is higher and you are now 2.7 payments behind, which gets rounded down to 2.

 

Every time there is a rate rise, the missed payments gets squashed further despite the money owing getting higher. 
 

Once the rate rises stop and accounts properly begin to have true arrears positions, there is going to be an awful lot heading for legal action. 
 

If anybody is struggling with their mortgage, send me a PM. 
 

I work in Mortgage Collections for one of the biggest lenders around and am happy to help out where I can. 
 

I’ll treat the PM’s in the strictest confidence. I’ll be able to tell you the process and what will be expected of you. I won’t be able to wipe arrears and fudge accounts. 

I appreciate it’s an emotive / stressful issue, people might even feel ashamed / embarrassed. Burying people head in the sand is the worst thing that can be done. Engage with the bank and work together.

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