Are interest rates going to rise much over the next 2 years?

Question

Trying to decide on whether to go for a fixed rate or a tracker mortgage... the fixed rate is obviously not as good as the tracker unless interest rates rise.... what do you think I should do?

Answer 1

if you could accurately predict that one, you would get a healthy bonus in the city.

So much could happen that could affect it, go for one that best suits your circumstances and one that you can afford should it increase.

It is like an insurance policy, get a 5 year fixed and pay slightly more, or go for the cheapest options , tracker etc and if it goes up by a large amount you will end up paying more overall.

It only takes, bush to do something stupid and the knock on effect reaches everything.

Answer 2

it is like asking how long is a piece of string.even the professionals are not sure.it is not just internal economics that govern interest rates but also in our global economy world affairs.it is better since the bank of England controls interest rates as it stops political parties adjusting rates to help election prospects.i personally don't think that there will be much change in rates in the short term.for peace of mind it is better to take a fixed rate or if you are a gambler the opposite

Answer 3

after speaking with a an investment banker over the weekend i can tell you the following, at the moment america teeters on the edge of a recession if they go into one we will follow and so will china and many others.
interest rates will continue to climb, and for a long time so if i were you i would get a fixed rate for 5 years to ride out the future storm and then reconsider at a later date.

Answer 4

A piece of string is -twice the size of half its length.
And Bush will do something silly.
I would go for fixed rate, but thats me