HC Deb 30 July 1963 vol 682 cc38-9W
39. Mr. Awbery

asked the Minister of Housing and Local Government and Minister for Welsh Affairs what is the total amount paid by a tenant purchasing a house on a mortgage of £2,000, at current rates of interest, for 20 years, 30 years, and 40 years, respectively; and what the sums would be if there was a reduction of 1 per cent. in the interest rate in each case.

Mr. Corfield

Assuming the rate of interest to be 6 per cent. (which is the current rate recommended by the Building Societies' Association) and that repayments are by equal half yearly instalments, total payments over 20, 30 and 40 years on a loan of £2,000 would be £3,461, £4,336 and £5,298, respectively. At interest rates 1 per cent. lower the corresponding payments over the same periods would be £3,187, £3,882 and £4,644.

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