February 4, 2009
UK Interest Rates Tipped To Fall by a further 0.5%
UK Interest Rates Tipped To Fall by a further 0.5% on Thursday when the Bank Of England meet again.
Interest rates will be at 1% the lowest since 1694 - but is this good news for buy to let landlords?
The banks are being encouraged to lend through a mix of government incentives and schemes, mortgage rates are beginning to slowly fall but usually at a high margin or up front fee.
Debt, especially in the UK has grown significantly in recent years, soaring from half a trillion (not sure how many zero's in a trillion but quite a few I'm sure) to nearly three times that today.
Unfortunately the economy, certainly over the last decade has been built on the back of debt - now no-one can borrow unless they are prepared to pay the price.
The Government, IMHO, should now toughen up its policies to the very bank and finacial institutions it has recently bailed -out and force them to lend again.
I still believe, that landlords who take a long term objective will make huge gains over the long term.
