Newsbot Posted April 20, 2007 Share Posted April 20, 2007 The average home costs more on the Isle of Man than in the UK, according to the latest figures. Source : http://news.bbc.co.uk/go/rss/-/1/hi/world/...man/6575727.stm Link to comment Share on other sites More sharing options...
Albert Tatlock Posted April 20, 2007 Share Posted April 20, 2007 I predict at least a 0.25% and more probably a 0.5% rise in interest rates next month. All the signs are there: inflation, house prices and $2 to the £1. Link to comment Share on other sites More sharing options...
Roger Smelly Posted April 20, 2007 Share Posted April 20, 2007 Too true albert the american economy was riding high on loans and re mortgages in the 80's and 90's but now they are really feeling it i have been watching it for a while. Bit like the UK economy at the minute, proped up on banks money and negative equity, a few experts are saying the same thing is coming our way. Link to comment Share on other sites More sharing options...
Albert Tatlock Posted May 10, 2007 Share Posted May 10, 2007 Interest rates up 0.25%. Link to comment Share on other sites More sharing options...
Lost Login Posted May 10, 2007 Share Posted May 10, 2007 I always think the headline is very misleading as it is the the Average Sale Price during the period which to my mind is not the same thing. If you are in an area where they are selling predominently detached modern houses the prices are always going to be on average higher than if the predominent housing type is a two up two down terraced house. When they talk about the cost of an average home it gives the impression that they are comparing the price of a standard 3/4 bed detached house in each area which is not what they are doing. I would find that statistic more useful as why I appreciate that the cost of housing in the IoM is not cheap I find it hard to believe that only in Greater London is it higer and that the prices in the IoM are higher than in the South East. I have to say that is not my experience Link to comment Share on other sites More sharing options...
spermann Posted May 10, 2007 Share Posted May 10, 2007 I always think the headline is very misleading as it is the the Average Sale Price during the period which to my mind is not the same thing. If you are in an area where they are selling predominently detached modern houses the prices are always going to be on average higher than if the predominent housing type is a two up two down terraced house. When they talk about the cost of an average home it gives the impression that they are comparing the price of a standard 3/4 bed detached house in each area which is not what they are doing. I would find that statistic more useful as why I appreciate that the cost of housing in the IoM is not cheap I find it hard to believe that only in Greater London is it higer and that the prices in the IoM are higher than in the South East. I have to say that is not my experience The lenders are very clever also. By pushing their 'buy to let' mortgages for second homes which can be secured on the first home it results in fewer houses on the supply chain keeping the house prices healthy even when interest rates start creeping up. In my opinion investing in bricks and morter, is still a fairly low risk investment and the way to go (just wish i has spare cash to do it) Link to comment Share on other sites More sharing options...
VinnieK Posted May 10, 2007 Share Posted May 10, 2007 I appreciate that the cost of housing in the IoM is not cheap I find it hard to believe that only in Greater London is it higer and that the prices in the IoM are higher than in the South East. I have to say that is not my experience Even just a look at the BBC's own website on house prices shows that you're right to be skeptical. Regions with house prices around or above that of the IOM include: Bath's average house prices are £253,364 Brighton and Hove: £248,062 Buckinghamshire: £342,715 Dorset £250,093 West Berkshire £276,198 The BBC website is basically where poor stats and press releases go to die. Link to comment Share on other sites More sharing options...
cheeky boy Posted May 10, 2007 Share Posted May 10, 2007 Interest rates up 0.25%. The BBC recons this would put an extra £16 per month on a motrgage of £100,000 I can't see that slowing down the housing market, most people spend more than that on Mars bars Link to comment Share on other sites More sharing options...
Slim Posted May 10, 2007 Share Posted May 10, 2007 In isolation a .25% rate hike isn't much no, but over the few years it's been a rise of 2% which equates to a £120 quid a month rise on your mortgage, so the hikes are definately adding up for most of us. I'm getting annoyed with these hikes being linked with an inflationary figure that appears to be caused by daft city bonuses and the cost of dvds on oxford street. Doesn't seem to relate to the rest of the country at all, yet we're all suffering the rate rise. Link to comment Share on other sites More sharing options...
Lost Login Posted May 10, 2007 Share Posted May 10, 2007 The maths seems out here as 0.25% of 100,000 was £250 last time I checked and 2% was £2,000. The increases would therefore be £20.83 and £166.66 per month repectively. That is without our compounding etc which probably roughly offsets if you were on a repayment morage say over 20 or 25 years. I am fortunate not to be to affected as I have a decent fixed rate deal and presently it makes more sense to save than try and pay some off of the mortgage as the interst on the mortgage is lower than on my savings. It is going to be a bit upsetting when the fixed rate runs out! In isolation a .25% rate hike isn't much no, but over the few years it's been a rise of 2% which equates to a £120 quid a month rise on your mortgage, so the hikes are definately adding up for most of us. I'm getting annoyed with these hikes being linked with an inflationary figure that appears to be caused by daft city bonuses and the cost of dvds on oxford street. Doesn't seem to relate to the rest of the country at all, yet we're all suffering the rate rise. Link to comment Share on other sites More sharing options...
xbones Posted May 10, 2007 Share Posted May 10, 2007 I got 120k over 30 years, and it's about £27 for a .25% move. Link to comment Share on other sites More sharing options...
BigDave Posted May 10, 2007 Share Posted May 10, 2007 presently it makes more sense to save than try and pay some off of the mortgage as the interst on the mortgage is lower than on my savings That's a very good plan and good advice to anyone who can afford to do it. We're looking into restructuring our mortgage when the fixed rate runs out and are planning to pay a chunk off from our savings. If we can reduce the term it would be great, but in the event of rates increasing having less capital outstanding can only ge a good thing. Link to comment Share on other sites More sharing options...
Albert Tatlock Posted May 16, 2007 Share Posted May 16, 2007 BBC: More interest rate rises likely Link to comment Share on other sites More sharing options...
Cambon Posted May 16, 2007 Share Posted May 16, 2007 The maths seems out here as 0.25% of 100,000 was £250 last time I checked and 2% was £2,000. The increases would therefore be £20.83 and £166.66 per month repectively. That is without our compounding etc which probably roughly offsets if you were on a repayment morage say over 20 or 25 years. I am fortunate not to be to affected as I have a decent fixed rate deal and presently it makes more sense to save than try and pay some off of the mortgage as the interst on the mortgage is lower than on my savings. It is going to be a bit upsetting when the fixed rate runs out! Tax relief? Also, you must have an incredible fixed rate deal if you are better off with savings, especially after you pay tax on the savings interest and get tax relief on the mortgage interest. Just make sure you use the saving wisely as good fixed rate mortgages are becoming a thing of the past. Link to comment Share on other sites More sharing options...
copycat Posted May 17, 2007 Share Posted May 17, 2007 8 years into a 20 year fixed rate at 5.99% - didn't ever want to pay 15% again - a .25% rise is nothing think yourselves lucky. Link to comment Share on other sites More sharing options...
Recommended Posts
Archived
This topic is now archived and is closed to further replies.