| Topic: | Warning from the Bank of England | |
| Posted by: | Andy Pease | |
| Date/Time: | 15/07/15 16:42:00 |
| The Bank of England have issued a warning that interest rates will have to rise in the near future.A rise to 0.75% is predicted before the end of the year, with more rises to follow next year.As interest rates have been static at 0.05% since 2009, are we about to see another glut of houses onto the market.How many mortgage holders will be able to cope with substantial rise in rates.In the 1980's, at one point, I was paying a mortgage rate of 14%.A similar rise now would be disastrous. I doubt very much rates will rise as high as previously, but how many people could even cope with a 2-3% rise ? Will we see the return to negative equity for a lot of people ? |