David Hopkinson FSFA, Partner JFW Robinson & Co, Oxford Chambers I read with interest Jonathan Dav...
David Hopkinson FSFA, Partner JFW Robinson & Co, Oxford Chambers I read with interest Jonathan Davies letter (22 November 2004) predicting the imminent demise of the residential property market. However, I feel I should point out some inconsistencies: • The rise in interest rates from 5.5% in November 2003 to 6.75% today is an increase of 22.7%, not 36% as he states. • Assuming a 25-year term, the average mortgage will rise by 12% (as the interest element is, of course, only part of the overall payment) due to the increase in interest rates. • In 1973, 1979, and 1989, interest rates we...
To continue reading this article...
Join Investment Week for free
Signup and gain exclusive members-only insights - all free of charge!
- Unlimited access to real-time news, analysis and opinion from the investment industry, including the Sustainable Hub covering fund news from the ESG space
- Get ahead of regulatory and technological changes affecting fund management
- Important and breaking news stories selected by the editors delivered straight to your inbox each day
- Weekly members-only newsletter with exclusive opinion pieces from leading industry experts
- Be the first to hear about our extensive events schedule and awards programmes
