RTE Drivetime: ‘Talking Money’ on mortgage rates, 20th April 2015

On talking money we looked at mortgage rates, where they are, where they are headed and what the best choice might be for people who are trying to decide what is best for their personal situation.

It’s a tricky question, rates can and do go up and down, but we believe the long term trend is for rates to go lower, in fact, that trend has already been occurring and there isn’t anything that seems in a position to stop it from happening. This is good news for borrowers (not so good for deposit savers!).

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Deflation or Inflation? What to expect in 2010

We have felt for quite some time that the risk of deflation will be met by monetary and fiscal stimulation to the point where it will give rise to several strong years of inflation. This extract is by James Grant of ‘Grants Interest Rate Observer‘. The question of ‘when’ the scales will tip in favour of inflation away from deflation is likely to be at some point in 2010.

This is why we are letting our clients know that we are watching the long term bond yields and when we see a divergence either in short to long or medium term to long we will be encouraging people to consider a longer term fixed rate. When the five year and one year cross that might be a good time, meanwhile, because more rate cuts are expected in 09′ it would not be the time yet for this kind of move.

We don’t have a crystal ball but we are keeping our eye on the bond market so that we can try to gauge …

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