4WD
$50 site donor 2025
Same - good feeling to own the roof over your head …
82% of mortgaged homes have a rate below 6%
- Thread starter GON
- Start date
Stuck is accurate. If your happy being stuck then ya for you. Bad for someone that needs to move, for job or family reasons.
Its all perspective, and its not supposed to be how markets work.
A HUGE mistake folks do is not buying due to interest rate. Buy when you are ready as prices have done nothing but rise.
Interest rates you simply refinance not if but when they drop.
My 3 homes were purchased with 7%+ interest rates!
Interest rates you simply refinance not if but when they drop.
My 3 homes were purchased with 7%+ interest rates!
16 years ago on another house we were at 7% range if I remember correctly for a no-doc mortgage
In 1990 ish we were 10.25 % on a no doc mortgage
I agree. Get in the game when you can play. Don't wait for the ideal time to get in as it may never arrive.
House prices rise when interest rates are low, and fall as interest rates rise. The smartest long term way to buy a house is to buy when interest rates are high, then refinance to a lower rate when interest rates drop.
Today, nobody really is interested in selling if they do not have to, because nobody wants to trade a 3.5% mortgage for a new mortgage on a new house at over 6%.
Today, nobody really is interested in selling if they do not have to, because nobody wants to trade a 3.5% mortgage for a new mortgage on a new house at over 6%.
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edyvw
$50 site donor 2025
It is not how the market should work. However, they had something to "play" with in April of 2020 and that summer. That is why now we should keep interest rates at the historical average bcs. if a recession hits, you need something to absorb it. But, I don't think in 2020, there was an option other than lowering rates dramatically. Did it cause inflation? Yes. Did it wreak havoc on workers' mobility? Absolutely! But it was choosing the least worst option.
We're paying 7.125 on on our beach house with a 10 year adjustable rate that matured in 2022.
Paid cash for our primary home so only the one mortgage and not a huge balance remaining.
I could pay it off but I'd make more with the money sitting in investments than the cost of the mortgage and it gets adjusted annually and rates will go down by February 2026.
Paid cash for our primary home so only the one mortgage and not a huge balance remaining.
I could pay it off but I'd make more with the money sitting in investments than the cost of the mortgage and it gets adjusted annually and rates will go down by February 2026.
I bought my house last may at 5.85%. My friend bought in the same area a few months later at 6.75. My neighbor bought essentially the same house as I 8 year previous for 45% of what i paid and 2% lower rate. It's a tough pill to swallow but it's not like they're making more land in the convenient urban areas so i expect it to continue to rise in value over the span i have to live in KC.
They could have lowered short term rates and not loaded their balance sheet. Or they could have loaded there balance sheet and left short term alone. Or they could have told Freddie and Fannie to stop collateralizing so many loans - their GSE's, they could have been told. Or even if they were too stupid for all that they could have stopped at the end of 2020 when it was obvious to everyone it wasn't what they thought it might be rather than continuing to 2023. But they did none of those things. "transitory" Unless you were a depositor at SVB. Then the fed has your back.
It wasn't about supporting the economy. How does pushing home prices up support anyone but the banks?
Then to top it all off Powell has the stones to stand there in 2024 and say the the fed "has nothing to do with housing". Laughable.
Same nonsense as 2008.
Plenty of folks interested in buying and selling. Just that crowd owns outright and will do for next home at least locally.
Mortgage free since 1984. We've moved several times since then and have always paid cash for the difference. It's the only way to go.
But otherwise, getting old isn't that great.
Wanted to move, but the rate difference killed the idea. Instead put money into existing home and will retire here (and then move).
3.15% 15-year since 2014 and then refi in 2021 to add my wife...2.13% 15-year.
I absolutely hate when he keeps parroting the “Fed is data dependent” answer for 90% of the questions they ask him.
Ultimately he is a puppet for some very powerful people….. so was Janet.
If a guy had a mortgage 4.5% and living in a shed on the land saving for a house, rates of around 4%..
It make sense to save, or pay off mortgage?
On makes a house in ~7-10 years, the ither probably 20.
It make sense to save, or pay off mortgage?
On makes a house in ~7-10 years, the ither probably 20.
You can get a fair bit higher than 4% on agency backed - still defacto backed by the treasury. My understanding is they would have to change the law to allow them to default.
However that income is taxable also. I am assuming there tax situation is such that they cannot deduct the interest expense anymore with the higher standard deduction. So there are tax implications.
I like to be liquid and don't mind a mortgage payment. Others like to own their house outright. I don't see the tiny spread on an arbitrage making sense either way - do what your most comfortable with.
Did the treasures thing. Huge PITA, super super slow to process, website is confusing, slow,, and confusing, almost as bad as the VA one I use for my pills.. not worth it for the like 3% interest.
I have only one, but it's 2.75%.
It's a big part of why we'll be able to pay it off soon.
Kind of a silly way to state something everyone knows. Rates have gone up.
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