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KievLoverTwo · 07/07/2023 20:46

Apologies in advance to Twiglets, but on today’s Moving Home With Charlie video, he said the markets are now predicting the BoE interest rate will get ABOVE 6.5%

:’((((

BestServedChilled · 07/07/2023 20:48

My first mortgage was 6.5% in 2007. It seemed really normal then!

3BSHKATS · 07/07/2023 20:50

Wimbledon was packed today. Perhaps more people are unaffected than mn bargains for

TrudyProud · 07/07/2023 20:51

BestServedChilled · 07/07/2023 20:48

My first mortgage was 6.5% in 2007. It seemed really normal then!

But how much was your house?
I'm willing to bet it cost significantly less (at least 5x less) than the equivalent house costs now.

IknowYouButIdontLikeYou · 07/07/2023 20:55

Our mortgage in 1991 was 12.5%. It was very hard - but we didn't have holidays, days out (only free things like parks, picnics, etc), DH and I never once had a babysitter (our kids were 7 and 9 then), and we didn't have mobile 'phones, computers (Mumsnet, Facebook, Twitter etc Grin). Our car was an old banger, which my husband did up. All our furniture was second-hand. No credit cards, loans, etc, though. We managed.

afterdropshock · 07/07/2023 21:00

That's exactly how I live now and always have.

Twiglets1 · 07/07/2023 21:04

New thread same old shit.
Hi everyone

3BSHKATS · 07/07/2023 21:07

Twiglets1 · 07/07/2023 21:04

New thread same old shit.
Hi everyone

Evening 🤣

arlequin · 07/07/2023 21:12

IknowYouButIdontLikeYou · 07/07/2023 20:55

Our mortgage in 1991 was 12.5%. It was very hard - but we didn't have holidays, days out (only free things like parks, picnics, etc), DH and I never once had a babysitter (our kids were 7 and 9 then), and we didn't have mobile 'phones, computers (Mumsnet, Facebook, Twitter etc Grin). Our car was an old banger, which my husband did up. All our furniture was second-hand. No credit cards, loans, etc, though. We managed.

But what was your mortgage as a percentage of your income?

SaturdayGiraffe · 07/07/2023 21:18

Bit off topic but…I don’t know how accurate it is but here is a calculator you can put in your old salary from when you were paying high rates in 1991 and it will spit out what the equivalent salary is in 2023, after inflation.

https://www.in2013dollars.com/uk/inflation/2002

Quite an eye opener!

Value of 2002 British pounds today | UK Inflation Calculator

This inflation calculator uses the official UK consumer price index. An inflation rate of 3.55% per year means £100 in 2002 is worth £208.14 in 2023.

https://www.in2013dollars.com/uk/inflation/2002

spring33 · 07/07/2023 21:18

KievLoverTwo · 07/07/2023 20:46

Apologies in advance to Twiglets, but on today’s Moving Home With Charlie video, he said the markets are now predicting the BoE interest rate will get ABOVE 6.5%

:’((((

That's very high, it wasn't meant to go to 5% not that long ago, it's already there now.

OP posts:
KievLoverTwo · 07/07/2023 21:20

spring33 · 07/07/2023 21:18

That's very high, it wasn't meant to go to 5% not that long ago, it's already there now.

Yeah, and I am pretty sure he said markets, not economists. The latter are often wrong, the former, far less so.

caringcarer · 07/07/2023 21:30

I can't remember how much our mortgage was as a percentage of our income as it was too long ago. We paid 9 percent. I was at home with 2 under 3 but I know all money was spent on mortgage, poll tax, gas, electricity, water, insurance, fuel for old car, food and there was hardly anything left for birthday gifts or Xmas gifts for our kids and no holidays, no days out except free stuff like the park or walks along the canal. No mobile phones, no Sky, no internet, no Sports package on TV, no Netflix, kids only did Cubs/Scouts and Brownies/Guides and swimming which my Mum paid for. Even food was basic so no strawberries or raspberries mostly apples and bananas as they were cheaper. After 2 years of this misery I went back to work part time and things became a bit easier. It's always hard when the kiddies are small. We lived in a village and there were no nurseries unless I drove 14 miles each way. After I went back to work mortgage rates stopped back to 8 percent and we were thrilled. Now kids are adults and our mortgage is paid off but I'm worried about my children's mortgages. My DS has 3 years left on his fix but my DD only has about 11 months left on her 5 year fix and I know she is already worrying about it. In 5 months she can look for a new offer but is wondering whether to buy out of her current fix and try a new fix.

UrsulaIsMyQueen · 07/07/2023 21:31

IknowYouButIdontLikeYou · 07/07/2023 20:55

Our mortgage in 1991 was 12.5%. It was very hard - but we didn't have holidays, days out (only free things like parks, picnics, etc), DH and I never once had a babysitter (our kids were 7 and 9 then), and we didn't have mobile 'phones, computers (Mumsnet, Facebook, Twitter etc Grin). Our car was an old banger, which my husband did up. All our furniture was second-hand. No credit cards, loans, etc, though. We managed.

How much did you pay for your house and what was that as a proportion of your household income?
I don’t know why people keep coming out with this inane shit. The situation now is not comparable to the situation then.

arlequin · 07/07/2023 21:36

caringcarer · 07/07/2023 21:30

I can't remember how much our mortgage was as a percentage of our income as it was too long ago. We paid 9 percent. I was at home with 2 under 3 but I know all money was spent on mortgage, poll tax, gas, electricity, water, insurance, fuel for old car, food and there was hardly anything left for birthday gifts or Xmas gifts for our kids and no holidays, no days out except free stuff like the park or walks along the canal. No mobile phones, no Sky, no internet, no Sports package on TV, no Netflix, kids only did Cubs/Scouts and Brownies/Guides and swimming which my Mum paid for. Even food was basic so no strawberries or raspberries mostly apples and bananas as they were cheaper. After 2 years of this misery I went back to work part time and things became a bit easier. It's always hard when the kiddies are small. We lived in a village and there were no nurseries unless I drove 14 miles each way. After I went back to work mortgage rates stopped back to 8 percent and we were thrilled. Now kids are adults and our mortgage is paid off but I'm worried about my children's mortgages. My DS has 3 years left on his fix but my DD only has about 11 months left on her 5 year fix and I know she is already worrying about it. In 5 months she can look for a new offer but is wondering whether to buy out of her current fix and try a new fix.

But you were on one income? Most people now can't manage on two!

UrsulaIsMyQueen · 07/07/2023 21:37

caringcarer · 07/07/2023 21:30

I can't remember how much our mortgage was as a percentage of our income as it was too long ago. We paid 9 percent. I was at home with 2 under 3 but I know all money was spent on mortgage, poll tax, gas, electricity, water, insurance, fuel for old car, food and there was hardly anything left for birthday gifts or Xmas gifts for our kids and no holidays, no days out except free stuff like the park or walks along the canal. No mobile phones, no Sky, no internet, no Sports package on TV, no Netflix, kids only did Cubs/Scouts and Brownies/Guides and swimming which my Mum paid for. Even food was basic so no strawberries or raspberries mostly apples and bananas as they were cheaper. After 2 years of this misery I went back to work part time and things became a bit easier. It's always hard when the kiddies are small. We lived in a village and there were no nurseries unless I drove 14 miles each way. After I went back to work mortgage rates stopped back to 8 percent and we were thrilled. Now kids are adults and our mortgage is paid off but I'm worried about my children's mortgages. My DS has 3 years left on his fix but my DD only has about 11 months left on her 5 year fix and I know she is already worrying about it. In 5 months she can look for a new offer but is wondering whether to buy out of her current fix and try a new fix.

Not many people can afford to stay at home with their children and pay a mortgage, nowadays.

StayAnonn · 07/07/2023 21:38

TrudyProud · 07/07/2023 20:51

But how much was your house?
I'm willing to bet it cost significantly less (at least 5x less) than the equivalent house costs now.

She said 2007 not 1987.

You think most house prices have risen by 500% in 16 years?

Hungrycaterpillarsmummy · 07/07/2023 21:40

We just locked in 5.5% starting in December. Glad we got it sorted before they change. Actually it's not official but our application is in. Fingers crossed
I was so tempted to go for a 4.7% 10yr fix.

latetothefisting · 07/07/2023 21:48

IknowYouButIdontLikeYou · 07/07/2023 20:55

Our mortgage in 1991 was 12.5%. It was very hard - but we didn't have holidays, days out (only free things like parks, picnics, etc), DH and I never once had a babysitter (our kids were 7 and 9 then), and we didn't have mobile 'phones, computers (Mumsnet, Facebook, Twitter etc Grin). Our car was an old banger, which my husband did up. All our furniture was second-hand. No credit cards, loans, etc, though. We managed.

I love the 'we didn't have mobile phones/mumsnet/twitter etc. brags
a) no shit sherlock, nobody did because they didn't exist 😂
b) social media is free anyway so hardly indicative of crazy financial profligacy...

how much did you car/house/student loan cost relative to your income in 1991 btw?

LadyTemperance · 07/07/2023 21:50

I’ve done a quick google and outside london, average house prices compared to average income has gone from being a 3 x multiple to a 5x multiple. Over the same period we have gone from most families having one income to most having two. Surely this is the link. My grandma used to say women were making a rod for their own back working full time as bosses would just end up paying everyone less. At the time I thought she was old fashioned buy now I see her point.

StarDolphins · 07/07/2023 21:57

IknowYouButIdontLikeYou · 07/07/2023 20:55

Our mortgage in 1991 was 12.5%. It was very hard - but we didn't have holidays, days out (only free things like parks, picnics, etc), DH and I never once had a babysitter (our kids were 7 and 9 then), and we didn't have mobile 'phones, computers (Mumsnet, Facebook, Twitter etc Grin). Our car was an old banger, which my husband did up. All our furniture was second-hand. No credit cards, loans, etc, though. We managed.

This is how I live now! But because I choose to. Too much emphasis on the high life now, all new clothes & furniture & having the latest gadget.

squirrelsinyourarmchair · 07/07/2023 22:01

LadyTemperance · 07/07/2023 21:50

I’ve done a quick google and outside london, average house prices compared to average income has gone from being a 3 x multiple to a 5x multiple. Over the same period we have gone from most families having one income to most having two. Surely this is the link. My grandma used to say women were making a rod for their own back working full time as bosses would just end up paying everyone less. At the time I thought she was old fashioned buy now I see her point.

Always a woman’s fault 😂

UrsulaIsMyQueen · 07/07/2023 22:03

squirrelsinyourarmchair · 07/07/2023 22:01

Always a woman’s fault 😂

Quite. We should all have just stayed chained to the kitchen sink and then we wouldn’t be in this mess.

TheresBoozeInTheBlender · 07/07/2023 22:05

"But how much was your house?
I'm willing to bet it cost significantly less (at least 5x less) than the equivalent house costs now."

You think all or most houses were at least 5 times cheaper in 2007, just 16 years ago?

Calmdown14 · 07/07/2023 22:05

I also bought my first flat in 2007 on a tracker at 6.5%. I paid 100k for it. Ame flat sold last year for £108k in much better condition, new kitchen bathroom plus substantial renovation we did in our time.

So definitely not increased in price by 500%

2007 was a peak many places have taken until very recently, or not at all to get back up there from the 2008 crash.

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