2012 - how low will the cash rate go?

[skater]

I only had one loan that was able to be fixed at 4.99%. It was the largest one in my portfolio, so I'm stoked that I was able to do that. Mine comes off in around April I think, because I locked it in with a purchase.

This time around I have a LOT on variable and will look to fix a lot more.

 

[virgo]

Praying for fixed rates

Hiya

Did my calculations on my trusty PIA software...

If i manage to fix at 5.5% on all my IP loans, i will be positive to the tune of $1758 per month... (multiply that by 3 years fixed....need i say more....

Gotta love size of my portfolio....

 

[Nathan]

I am aiming for a fix between 5.2 - 5.5% for 3 years around may - july 2012.

 

[devo76]

I fixed at 7.25% just before the GFC. I thought i was a real smarty pants when rates climbed another .5 % until they crashed there after. I missed the low rates completely on one of my loans.
Not this time. My 7.25% fixed loans finish mid 2012.
I will fix most loans if they hit 5.5%
Anything below 5.9% will see my entire portfolio( PPOR included) go cashflow positive. That will help ride out any crappy conditions we may have ahead of us.

 

[ali]

I fixed at 7.25% just before the GFC. I thought i was a real smarty pants when rates climbed another .5 % until they crashed there after. I missed the low rates completely on one of my loans.
Not this time. My 7.25% fixed loans finish mid 2012.
I will fix most loans if they hit 5.5%
Anything below 5.9% will see my entire portfolio( PPOR included) go cashflow positive. That will help ride out any crappy conditions we may have ahead of us.

Don't feel bad, my friends fixed at 9.5% within a year of the GFC .... Massive mortgage on an inner-city Sydney house.
Cheers, Ali

 

[Deltaberry]

Our secretary fixed at 9+ too. At 5 years or 7 years. Can't remember.

 

[whitegoodman]

I say the low point will be about 3.25% this time around for the cash rate.

That means we will hit a lowpoint for the lowest variable rates around 5.45% and probably 5.25% for 2 & 3 year rates.

great, nice guess...

this thread baffles me

 

[Deltaberry]

Baffles me too.

But I have no credibility on this as I didn't even see it this low.

I'm not complaining. Ex-colleague just locked in 5.8