To ask when interest rates will likely go down?

[AnxietyLevelMax]

We are close to remortgaging for the first time. Long long time ago i was happy and excited thinking we will be paying less by £200 min per month. Right now our rate would change. We still have 5 more months before we can remortgage so we can end up paying even more than now.

how long do u think it will all last?

i dont know how we are going to do that, we cant save anything now because we are paying debts, childcare is expensive as hell, everything is expensive, we barely make it month to month paying debts off but it will still take us 1.5-2 yrs min. We have no financial cushion. I am worried as hell, cant sleep worrying if something happens we dont have any extra money.

I was looking for this thread….

so I have 3 mortgage products- all on one house
last month I switched one from 2.12 to 2.70%

today I was able to switch another from a 1.2% (five year fixed coming to an end) to 2.9 😫

so far I’m £130 more a month on my mortgage and still one more product to go which is an age away

switched for 5 years btw

Can I ask how come you have 3 mortgage products?

Bought a house 10 years ago- ported it to my new house = product 1

additional mortgage to buy new house =. Number 2

took equity out of house for renovations was number 3

that makes sense, I didn't know you could have different products.

Looks like we have a potential prop! 🤦🏻‍♀️

amp.theguardian.com/money/2022/jul/01/fifty-year-home-loans-would-get-more-on-ladder-but-come-with-risks

Possibly. Just being mooted at the moment and the government would have to get lenders to agree (or guarantee the loans). Lenders are being pretty harsh at the moment.

That's why I said potential...

However upthread posters had said they had run out of props & I disagreed.

I mean it's a stupid idea but that's not the point.

It’s not a stupid idea at all because at least with a 50 year mortgage there is indeed an end date. With renting there is not.
I could also weep when I look back at the mortgage payments for my first mortgage I think they were about 125 quid a month.

I could over pay it by three grand now, and I’m not that far off 50 years since I bought it.

nobody ever thinks the new ideas are good ideas ever I’m sure people will absolutely up in arms when the six day working week was introduced and called all the youth of the day lazy but everybody soon got used to it, the new norm, normalises and life goes on.

I think it's stupid & it would be far better to build more homes in general & more social housing & more rent controls with less stigma around rent. We do not need to keep loading up the younger generations with more debt.

I've seen this as well. I meant props that would actually work. This one is clearly imbecilic and it won't work anyway.
Look at Japan.

Yes but they’re not going to build more affordable housing are they, that’s clearly not in the people who are in powers best interests.

we do indeed need to keep loading with the younger generation up with debt because they’re not exactly keen on working in the traditional sense which makes them very difficult to manage and extract tax from.

we do indeed need to keep loading with the younger generation up with debt because they’re not exactly keen on working in the traditional sense which makes them very difficult to manage and extract tax from.

🤔

That particular poster is best ignored.

oh dear. Taken it literally have we 🙄

I’m not suggesting this is something that I want I have four young adults/ teenagers myself but that is the perspective that will be taken on this how do we get the most tax out of the population to fund the ever growing number of economically inactive people.

Do some other countries already do inter generational mortgages? I think I've read that somewhere. Possibly Japan or one of the Scandi countries.

how do we get the most tax out of the population to fund the ever growing number of economically inactive people.

And you think it's young people who are more economically inactive?

Have you seen the latest census figures, we have a huge demographic shift coming, everyone needs to be a heap more in tax & not just from income.

pay not be

My interpretation of them talking about intergenerational mortgage is in the UK is it there not talking about the children taking on the parents mortgage, they’re talking about the parents guaranteeing the children’s.
just again anecdotally I know lots of medical staff who are on amazing pensions they have beautiful £900,000 house is that are mortgage free. They have been for awhile.

they will be providing deposits for their children and if they need to go guarantor on them as well due to the initial lower earnings they will do that and that’s a double win for the government because these guys can retire in five years time but if they’ve signed up to support their children they may stick around for another five.

"Asked if he was considering cross-generation mortgages that could be passed from parents to children, the UK premier replied: “Yes, certainly.”"

www.bloomberg.com/news/articles/2022-07-01/johnson-weighs-50-year-mortgages-that-children-can-inherit

My interpretation of them talking about intergenerational mortgage is in the UK is it there not talking about the children taking on the parents mortgage, they’re talking about the parents guaranteeing the children’s. just again anecdotally

That exists already doesn't it, family deposit & guarantor mortgages.

I've seen this as well. I meant props that would actually work. This one is clearly imbecilic and it won't work anyway.

As I said above this combined with the other things I mentioned (borrowing more, loan schemes etc) may indeed prevent prices dropping. I do think the days of huge growth are over though & see only long stagnation

Hmmmm Again though if that’s what it takes that is what we will do.

I’m sure when the five day working week was introduced everybody was up in arms about how lazy the youth of today were not wanting to work six or seven and yet here we are now considering four day working weeks, it’s evolution.

I am 100% certain though that the government will not cause or allow the cause of the economy to crash resulting in mass unemployment because if you look logically they need more people employed paying tax is not less so houses being purchased is the carrot the most people need to stay in employment.

I totally agree it will be another 12 year cycle. It’s almost biblical isn’t it.

@Nothappyatwork

What are your thoughts on Mark Zuckerberg's comments on the economic outlook?

“according to a recording of the event leaked to Reuters.

He said that Meta would hire between 6,000 and 7,000 engineers, compared to previous plans for around 10,000.”

if the leaked comments are actually true, let’s assume they are, my initial thoughts were he was never gonna be able to hire 10,000 engineers anyway so good luck to him if he’s able to find between six and seven thousand…. it’s hardly an insignificant increase in headcount is it ?
every organisation should be looking to trim the fat at all times to ensure that the business is protected and runs successfully. This is not groundbreaking news.

but Facebook are actually struggling due to changes in privacy laws, Zuckerberg actually has something tangible to base his opinions on as opposed to musks “super bad feeling”