%% LOL I dont regret paying off several of mine[30 yr, 20 yr]; if any hate that, they can always get in debt again . But that [debt ]could actually help climate change, mortgage paper is a renewable resource; + I'm in favor of tree + paper harvest, which uses fossil fuels, or literal horse power LOL Another fringe benefit the horse trailer takes fossil fuels, a bit. Life is good with no 30 year debt also
Well, if you think in terms of demand vs supply, it'll work itself out eventually. As the rates go up, demand will drop. Lower the demand will ultimately lead to a drop in housing price. If you can't afford to buy a house now, I'd say, just sit tight and wait. The housing market will cool and the price will become more affordable.
the argument is that no one wants to sell because they will lose their preferential rate. The issue is that if they did, where would they go? The problem isn’t rates. It’s a shortage of housing.
Sounds reasonable given US' history, however if there is a tipping point reached and we become like NZ, Australia, Canada & UK then you are a forever renter. Supply is certainly the real problem and here in the SF bay area the leftist NIMBYs will never okay another housing project ever.
%% Except for the many that bought travel trailers, raw land. And mobile homes[depreciating asset] And a lot more bought mini homes \some prebuilt, some not prebuilt. And some bought built in AZ, no water, so trucked in water, better than rent
Rates were 7.5-8% in the late 1990s. I don't know how you could have paid 13%. The only time it was 13% was 1982-83.
That's on average. There was a lot of fluctuation depending on your credit score, your income, and whatnot. In retrospect, I should have done more homework, but it's worth remembering that this was time when information was very limited even with the Internet. I believe people were still accessing the web via 56k modem.