Inflation down to 4.6%

[youngones1]

Maybe interest rates and therefore mortgage rates will start coming down now?

I think rates have peaked. What rates are there now on fixed term mortgages?

We were offered 5.21% for 5 years yesterday.

its still well above the BOE target. this halving was expected as it was a result of the energy price spike. interest rates may come down 0.25 or 0.5 but will not be going much lower. it is back to normal rates now x

I think rates are going to stay at this level for most of 2024
There may be a token cut half way through the year but even so I think we are staying at 5% ish for a long time.

Inflation may be at 4.6% but that means things are still inflating in price at more than twice the target rate of 2%.

It's still good news though, it was 11% not long ago.

This means that things are still going up by almost 5%. That's enormous.

Interest rates for mortgages are unlikely to come down by very much. Rates are now.sitting around what they should be. The days of very low interest rates in mortgages are in the past. I wouldn't bank on them getting back to those rates in the next couple decades

I agree with the above The effect of high rates on mortgages HAS JUST begun many people will have to pay more as their fixed
rates end so a long time

The past int rates were a con by those in power to make people think they were getting richer A high money supply and low rates
Caused high prices

It's still high but finally feel that it's under control. Unfortunately I think that interest rates will have to stay this way to get it down further, and prevent a relapse. Hopefully house prices will adjust to allow to accommodate interest rates. Ultimately most people will have to make downwards adjustments in their lifestyles. We've had a long boom cycle and lost all the leadership skills that it takes to get a country out of an economical depression it seems.

I doubt that the BoE will cut much in the next 6 months, unless there is some economic crisis. Core inflation is still high and energy prices are about to rise again.

You can already get below 5% mortgage deals on 5 year fixed with 60 LTV and maybe if house buying remains subdued and the BoE doesn't say anything to spook the mortgage providers we might see rates closer to 4% come spring. I think with those sorts of values there isn't much urgency to cut interest rates as most home-owners can absorb it and won't lose their homes.

Yes it is but don't expect many on here to agree!

I think food inflation was still at 10% in October so that’s still worrying.