Michael Aglony's Property Blog Archive: Economics

02, 2008 December:

The return of Buy to Let as a commercial transaction

When the Buy to Let mortgage market started in the early 90's, Loan to Values were at a maximum of 75%, underwriters made decisions to lend based on the overall viability of the transaction and commercial rates were charged.

16, 2008 December:

3 month LIBOR continues to ease slowly - 16.12.2008

There will be a limit to its downward movement towards the end of the year as those banks with 31 December year ends preserve cash on their balance sheet and let creditors rise accordingly.

30, 2008 December:

Market awaits Year End movements at Banks

3 month LIBOR continues its downward drift - setting today at 2.82% - still a significant premium to Bank Base at 2%

13, 2009 January:

SWAP rates and LIBOR rates on the move in 2009 - 13.01.2009

The entry into the New Year was no doubt followed by many with a New Year's resolution on how to improve their lot in life and a glass or two, to bid fairwell to a truly awful 2008.

Mortgage Express are waiving all Early Repayment Charges!

Mortgage Express are waiving all Early Repayment Charges for Residential and Buy to Let mortgages between February and June 2009!

22, 2009 January:

It's all about cashflow!

These are tough times and as the recession takes hold many of us are now looking at ways of tightening our belts further...

23, 2009 January:

Will Base Rate stay below 5% in 2009?

2009 is shaping up to be an interesting year, but hopefully not for the same reasons as 2008. The actions by the Bank of England and other Central banks has been to attempt to stabilise the global markets and right some of the wrongs in recent years.

29, 2009 January:

It looks like Bank of England Base Rate could drop to 1% next week

The next MPC meeting on 4 February with its announcement on 5 February is heading towards a 0.5% cut in Bank of England Base Rate (BBR) down to 1%.

30, 2009 January:

B&B appoint Mortgages for Business for early repayment charge clients

At Mortgages For Business we are delighted to have been appointed as one of two brokers to assist Mortgage Express borrowers looking to take adavantage of the Early Repayment Charge waiver if borrowers redeem their loan in part or full between 1 February and 30 June 2009.

03, 2009 February:

Bank Base Rate now seems set for 0.5% cut on Thursday

Continuing economic woes and global concern that cuts in BBR are not the only solution make it much more likley that BBR will move down by 0.5% to 1% on Thursday.

08, 2008 December:

Base Rate reduced to 2%

So Base Rate has been cut by another 1%. Bearing in mind Mervyn King's comments earlier in the month, the reduction is no real surprise and is confirmation (as if we needed it!) that we are heading for tough times in 2009.

19, 2009 February:

Will everyone benefit from the 0.5% Base Rate cut?

Media and politicians focus on residential mortgages when Bank Base Rate (BBR) is cut as that is the point of maximum impact on individuals and ultimately where votes in the next general election will be won or lost.

25, 2009 February:

Northern Rock resumes lending - what will be its impact?

The announcement that Northern Rock is to resume mortgage lending (£14Bn by the end of 2010) is welcome for the mortgage market as a whole but will probably only drive indirect benefit for the Buy To Let sector.

07, 2009 May:

Base Rate stays at 0.5% for a second month - 07.05.2009

No surprise that the Bank of England have kept Base Rate at 0.5% for another month. Time will tell whether the Bank's Quantitative Easing programme will have the desired effect...

22, 2009 June:

Increase in fixed rates as "perceived" inflationary pressures start to build. 22.06.2009

Mervyn King hinted in his Mansion House speach last night that there were some signs that quantitative easing was starting to work and that the £125Bn injection may be sufficient - I really hope so !!

23, 2009 July:

At last - Funding for HMOs, Freehold Conversions & Limited Companies returns! 23.07.2009

We at Mortgages for Business have been aware for some time that many landlords and property investors have been struggling to find finance for certain property types e.g. HMOs and Freeholds split into several self-contained units...

Subjects Covered by Michael Aglony