Mortgage deal ending

Otamendi's Beard said:
Was hoping to upgrade to a bigger house (kids growing up) but house prices are so high and interest rates pretty unattractive.

My only question is whether sitting tight for 2/3 years will be beneficial?

Will prices and rates decrease or could it get even worse?
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I'm in the same boat - ish, went to view a property Saturday morning but not sure if now is the right time to be buying
 
Just been onto our mortgage lender after securing a new 2 year deal.......£100k outstanding on a holiday rental property. We can pay £50k off but with penalties, I nearly fell off my chair...1.00% ( I thought it would be a lot more tbh ) so will sort that out hopefully early next month as the money is in Premium bonds, the rest we can still pay off under the original terms of 10% of the outstanding balance per annum or think fuck it and pay the lot off inc penalties within 2-3 years, hopefully.
Mortgage free again woohooo, the last time was 2003.
 
BlueHammer85 said:
Same position, end of November mines up.

Have you got the ball rolling ?
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No not yet, with Santander and they won’t give me a quote until there’s 4 months left on our current deal which will be the 2nd of July- there current stand variable rate is currently 7.75%!
 
uptheblues said:
No not yet, with Santander and they won’t give me a quote until there’s 4 months left on our current deal which will be the 2nd of July- there current stand variable rate is currently 7.75%!
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Christ.
I don’t understand variable - why would anyone go with that when there rates are always sky high above fixed ?
 
BlueHammer85 said:
Christ.
I don’t understand variable - why would anyone go with that when there rates are always sky high above fixed ?
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Because it might be all they will offer you.
Many mortgage-holders would be delighted to remortgage – but find that they can’t. An estimated quarter of a million homeowners are so-called ‘mortgage prisoners’, stuck on an SVR mortgage against their will and unable to switch. This is often because of tighter lending criteria introduced since the 2008 financial crisis, resulting in borrowers being refused new mortgage deals on the properties on which they already have a mortgage.

Absurdly, this means that these homebuyers can’t remortgage to a deal that would result in far lower monthly payments than they are currently paying on their SVR mortgages. What makes the problem worse is that many are with lenders who have ‘closed books’, meaning that they are currently inactive and cannot offer new deals. If they can’t get a mortgage deal via a different lender, they remain stuck on their punishing SVR.
 
denislawsbackheel said:
Because it might be all they will offer you.
Many mortgage-holders would be delighted to remortgage – but find that they can’t. An estimated quarter of a million homeowners are so-called ‘mortgage prisoners’, stuck on an SVR mortgage against their will and unable to switch. This is often because of tighter lending criteria introduced since the 2008 financial crisis, resulting in borrowers being refused new mortgage deals on the properties on which they already have a mortgage.

Absurdly, this means that these homebuyers can’t remortgage to a deal that would result in far lower monthly payments than they are currently paying on their SVR mortgages. What makes the problem worse is that many are with lenders who have ‘closed books’, meaning that they are currently inactive and cannot offer new deals. If they can’t get a mortgage deal via a different lender, they remain stuck on their punishing SVR.
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Jeez , I could be in big trouble to be honest. Nervous times.
 
BlueHammer85 said:
Jeez , I could be in big trouble to be honest. Nervous times.
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I doubt you will be in the "mortgage prisoner" category if you are concerned about it. The ones who are probably don't see it coming, you know the GE Money sort. 250k less than 2.5% of all mortgages, so of the ones trapped it is likely to be under 10%.

I have had a look at my SVR, goes up 61 points to almost 8% in 18 months or so, which to my crude calcs would mean crica £500 pcm goes to £800 pcm on a repayment mortgage. Obviously that is unwelcome but not exactly armageddon and I have 18 months to batter it. If I owed 2 to 3 times as much I may be concerned.

You will probably get close to 5.5%, but it was closer to 4.3% a few months back, and 1% in 2021 for a few months :(
 
The average price of a house is £375000, who the fuck has the money to buy these things, absolutely ridiculous prices for 4 walls and a roof, someone is making serious profits. I feel so sorry for young people trying to get on the ladder, maybe it’s time to make these shit hole towns better again by people moving into the cheaper terraces?
 
Blue Maverick said:
The average price of a house is £375000, who the fuck has the money to buy these things, absolutely ridiculous prices for 4 walls and a roof, someone is making serious profits. I feel so sorry for young people trying to get on the ladder, maybe it’s time to make these shit hole towns better again by people moving into the cheaper terraces?
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Where have you got this figure from?
I’m sure it’s 100k less!
 
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