Worth repeating. This 100% Now add in all the high end pieces that we can't possibly live without (granite, hard wood floors, high end appliances, etc)
My grandpa raised 6 kids in a converted one car garage! We don't need no high end appliances!
Worth repeating. This 100% Now add in all the high end pieces that we can't possibly live without (granite, hard wood floors, high end appliances, etc)
It was. I remember it vaguely, through my parents as I was young at the time. What the chart shows is, is that sub7% is abnormal for most of history. Current borrowers have had a HUGE advantage over previous generations
Oh, I understand and agree. Land is easier to compare. Houses are more difficult due to the reasons I mentioned, no one is building the 4 room, 2 bedroom houses anymore. My sons apartment is that size. You can’t really compare a 720 square foot home to a 1600 square foot home.Very much negated by asset appreciation.
Parents were fortunate enough to be able to pick up some $600 land in the 1980s due to rates. And 125k house at 7%+.
It all evens out in end.
In current situation (fairly asset poor and cash heavy), would welcome high rates in short term to pick up some reasonable ground/rentals if liquidated.
Built a home in 1980. The local banks wanted 15% and up. Found a private lender for much less (but still high compared to today's rate). The good news was the value of the home was 1980's value so the principle was much less than now. However, wages were also at 1980 rates.....This is still the funniest chart on the Internet.
View attachment 103646
That must have been ******* awful.
I’ll take stupidest things you could do for $600, Alex.Don’t worry
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The 40-Year Mortgage: What You Need to Know
A 40-year mortgage can help lower your monthly mortgage payments, but there are tradeoffs. Learn more about a 40-year loan and whether it's right for you.www.lendingtree.com
Going to happen more and more. 30 was once crazy and look at what has happened with car loans!I’ll take stupidest things you could do for $600, Alex.
May happen more, doesn’t stop it from being stupid. Took me a few years to realize that 30 is actually dumb also. The money people put aside on the difference between 20 and 30 year payments is nice.Going to happen more and more. 30 was once crazy and look at what has happened with car loans!
We are in pretty much the exact scenario. Moved for a promotion, rented to get a feel for the town, but because we waited everything seems overpriced. Not that we can’t afford it, I just don’t want to buy a house for it to depreciate 2 years later by 20%. The bidding wars are done, prices are slowly coming down but not enough to feel confident in our purchase but we are sick of renting. We will likely buy by March regardless what the market does but if it’s going to crash, just crash already.We had a house that we sold this Spring which had an interest rate at 3%; sold because my wife got a new job. We are renting right now as we don't know anything about the area we moved to, so wanted to feel it out prior to actually buying. However, if interest rates are that high, and home prices don't fall accordingly, I don't see how we can buy something decent to live in.
We are in pretty much the exact scenario. Moved for a promotion, rented to get a feel for the town, but because we waited everything seems overpriced. Not that we can’t afford it, I just don’t want to buy a house for it to depreciate 2 years later by 20%. The bidding wars are done, prices are slowly coming down but not enough to feel confident in our purchase but we are sick of renting. We will likely buy by March regardless what the market does but if it’s going to crash, just crash already.
Don’t worry
![]()
The 40-Year Mortgage: What You Need to Know
A 40-year mortgage can help lower your monthly mortgage payments, but there are tradeoffs. Learn more about a 40-year loan and whether it's right for you.www.lendingtree.com
This is still the funniest chart on the Internet.
View attachment 103646
That must have been ******* awful.
The higher interest rates are felt much more in states like Iowa, due to the insane cost of property taxes (1.5%). If you live in a state like TN or AL, for instance, you're paying around 0.4% of assessed value. So, buying now with the highest interest rates is more easily digested because within a few years, you'll very likely be able to refinance for a much lower APR. Personally, I've very heavily considered moving to TN for not only this reason, but because of the absence of state income taxes. It's insane how expensive it is to live right now.
A lot were probably in process and had money down before the rates jacked up. Next year will tell us what the rate hikes did most likely.
You're paying for it somewhere.Some builders are buying down rates for buyers. In some cases I know builders are still offering 4.99% mortgages.
I look forward to a mad max hellscape.Don’t worry
![]()
The 40-Year Mortgage: What You Need to Know
A 40-year mortgage can help lower your monthly mortgage payments, but there are tradeoffs. Learn more about a 40-year loan and whether it's right for you.www.lendingtree.com
I look forward to a mad max hellscape.
You're the first person I'm targeting for gasoline and beef jerky. I don't actually remember any of the plot of the movie since I was very stoned but I feel like there was a gas shortage and a bunch of guys in leather chaps that weren't in the village people.I got dibs on being the guy chained up to the front of the Tatra T815 playing a guitar that shoots fire.