What do you think would happen if everyone in the country stopped paying mortgage rent?
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Lol seriously the madness that would ensueComment -
My $130k condo is now worth $340k after a few years but houses that aren't dumps are $650,000+ now. So any money I gained I'd be dumping back into affording something bigger.
I wish I just bought when rates were low, but the logic is- you can always re-finance. You can't ever pay less for your house.Comment -
Pure insanity my little rambler 1500 sq foot house 4 bedroom 1.5 bath no master mostly outdated bathrooms can get 600 easy and yet I owe less then 150
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GREAT QUESTION
Answer- the now SECOND worse President ever, Jimmy Carter.
In order to spur growth and combat inflation driven issues of his failed economic policies, the Fed allowed the 1st series of ARM to lower initial payments for borrowers.
This lead to the S&L crisis soon thereafter, much like the Clinton era CRA & affirmative action housing policies lead to the collapse in 09-11. Had rates been higher then housing would have sunk in 02 or 03, but the economic boom/ spending needs of the war allowed a period of easy money policy.Comment -
Insane indeed
Not only did I negotiate a 2.65 rate 24 months ago, my condo value in Fairfield County Ct. has nearly tripled in four years.Comment -
My house has almost doubled in price in less than 10 years.Comment -
When the SBR store opens again for business do you think inflation will raise the cost to buy btc? I believe it was 1,333 for $50Comment -
I had it paid off a few years ago but then decided to move, spent double and took a mortgage. Got tired of the same house after 17 years. No regrets at all, especially with the extra space during the pandemic. I could pay it off right now, but I don't quite want to yet. I might, but with inflation and rates going up I might not, esp at 2.5%. I probably will though, because I got a lot of cash. Nice problem, I know.Comment -
Buying a house is the biggest investment you can make. Imagine renting for 30 years instead of paying a mortgage.Comment -
Home prices in the capital of Ireland are really rising.
It's Dublin.Comment -
Yeah, it all depends. No single right answer. A lot of it comes down to moving or not. Buying is generally not smart if you want or need to move frequently. Moving is expensive. I'd say you have to be willing to commit to stay for at least 10 years, if not more. There's a time to rent and a time to buy.Comment -
Still getting 1.25% variable...Comment -
In the last housing bubble, I knew quite a few people who cashed out and waited for the next buying opportunity by renting. Rents were artificially low though because everyone with a property that was on an interest only ARM was trying to save their investment by renting it out and moving somewhere cheaper. That isn't happening right now. Inventories are stupid low so until we start building more homes, prices could stay relatively stable.
Right now, rents are high in comparison so your profit will get chewed up faster. The thing to consider is that 250k in profit is tax free (500k for couples) if you have lived there 2 years or more. That's a lot of money you can take off the table to do other things with.
With rates being high, you could put the money elsewhere and probably preserve the capital until another buying opportunity arose. Or you could stay in your house, wait for a buying opportunity, leverage your equity and keep the current house as a rental.
BTW when random dudes on message boards are becoming experts at anything, it's time to run for the hills.
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I forget most people on SBR are broke and in debt. My bad..Jibby I’m sure we all just have cash to buy a house laying around and if we did no shit pay cash for it?
Jibbys advice guys: if you have cash pay cash avoid interest fukin best advice I’d ever heard never thought about it I’d rather sit on my millions and pay interest for no reason
Win some 10 team parlay bets Pile. Get that cash buddy. Buy the crib out right!
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Mortgage rates up but bank interest seems completely unchanged. Fukkin' crook banks making a fortune.Comment -
Jake that was initially our plan for Florida but you’d be amazed at all the home owners who won’t rent to families with a pitbull. I mean come on, take a look at the little guyIn the last housing bubble, I knew quite a few people who cashed out and waited for the next buying opportunity by renting. Rents were artificially low though because everyone with a property that was on an interest only ARM was trying to save their investment by renting it out and moving somewhere cheaper. That isn't happening right now. Inventories are stupid low so until we start building more homes, prices could stay relatively stable.
Right now, rents are high in comparison so your profit will get chewed up faster. The thing to consider is that 250k in profit is tax free (500k for couples) if you have lived there 2 years or more. That's a lot of money you can take off the table to do other things with.
With rates being high, you could put the money elsewhere and probably preserve the capital until another buying opportunity arose. Or you could stay in your house, wait for a buying opportunity, leverage your equity and keep the current house as a rental.
BTW when random dudes on message boards are becoming experts at anything, it's time to run for the hills.
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