Daily Doom

[DimPrawn]

http://www.guardian.co.uk/money/2008...es.houseprices

The cost of fixed-rate mortgages climbed to their highest level in a decade yesterday as banks were forced to pass on sharp increases in the costs of borrowing. Nationwide, Britain's second-largest mortgage lender, raised the cost of many of its mortgages by up to half a percentage point yesterday.

The move, which followed several other increases from rival banks last week, led the financial data compiler Moneyfacts to declare that the average two-year fixed rate mortgage now stood at 6.75% - the most expensive level since 1998.

http://www.guardian.co.uk/business/2...rket.useconomy

The troubled Wall Street bank Lehman Brothers is preparing for a 28% fall in British house prices in one of the gloomiest scenarios outlined about the impact of the credit crunch on the property market.


http://www.telegraph.co.uk/money/mai...oolwich117.xml

Woolwich withdraws 2-year fixed home loans

[realityhack]

Gosh, you're a ray of prawny sunshine today aren't you.

[DimPrawn]

It's going to rain.

[BlasterBates]

Great doom posting DP.

I love doom.

Might start doing some more intensive doom posting.

[Marina]

Great doom posting DP.

I love doom.

Might start doing some more intensive doom posting.

Too easy now - practically every other Telegraph or Mail article is doom laden. It's like shooting fish in a barrel.

But I was slightly cheered up, in a perverse "serves them right the daft twats for bringing in the human rights act in the first place" kind of way, to read that Jack Straw's proposal to deny murder suspects bail has been rejected by the Government as it would deny the suspects' human rights!

[BlasterBates]

yeah not the same as in the good old days

[Bagpuss]

Plan B =Dimprawn brokers?

[ferret]

Wonder what will happen to mortgage rates when BOE base rate starts climbing to combat inflation. This will lead to more repo's and will push the housing market further into the gloom. That's when the tulip will hit the fan and Lehman's 28% drop will be revised to add a further 12% We could easily hit 20% fall by the end of the year.

[Bagpuss]

Wonder what will happen to mortgage rates when BOE base rate starts climbing to combat inflation. This will lead to more repo's and will push the housing market further into the gloom. That's when the tulip will hit the fan and Lehman's 28% drop will be revised to add a further 12% We could easily hit 20% fall by the end of the year.

This government will probably do nothing, they really want to lower interest rates and keep the housing boom fuelled. They should have raised them significantly a couple of years agoand maybe we wouldn't be in this mess. Still it's the world economy causing inflation, innit?

[ferret]

They have already said that they will not be able to drop them this year due to inflation. The only way is up, baby. That is the only thing stopping me putting cash into year bonds at the minute, the chance that we may see interest rate hikes over the next quarter. I think they will have to put rates up, like it or not. Housing market is going down the pan whether they leave rates as they are or even drop them. They have already shafted us by landing us with NR and handing the banks £50BN of taxpayers money - even with this help the banks are still putting up interest rates for borrowing as they know they are buggered.

Interesting times.