/biz/ - Business & Finance

>need to be a trillionaire to take out a mortgage now
bros i just want to stop living in an apartment where i hear n-words playing rap music through the walls 24/7

glad I'm locked at 2.5% for the next 29 years

>>52237844
zoomers btfo

>>52237793
Why not just buy a home with cash?

>>52237793
Mobil homes are still at 4-5%. Take the mobil home pill.

my parents paid for my house more or less, good luck out there if you have to actually work for it

>>52237960
anyone smart enough to hold cash isn't going to spend it on some boomer's retirement plan lol

>>52237844
You're overpaying anyway because with these rates your home value will only drop.

>>52237844
>locked in at 2.8
>Meh tier Town home
>Just want to get a house

I need to just learn to be happy with what I got

>>52237793
it's fine cuz home prices will collapse 50%+

Just don't buy a house then retard. Or move to third world and live like a king.

>>52237793
Rates will continue to rise until the end of 2023. That is when home prices will be the lowest. I will buy then. Then in 2025 when the next manufactured crisis happens and they lower rates to zero again, I will refinance.

>>52238339
That's a risk I'm willing to take. Sitting comfy with my less than rent mortgage, effectively saving money even without taking equity into account

>>52237793
>home loan will soon be 9-10%
We've been living in highly aberrant times. I really wonder how crypto will adapt.

>>52238339
he's not speculating on it dumbass. he's living in it

>>52237844
nice. 3% for me. would be comfy if my house wasn't sabotaged by the boomer who sold it to me.

>>52237827
then get a USDA loan where you can buy a house with $0 down and get half off interest

>interest rates go up
>home prices go down
it all balances out lads

>>52237793
you thought that ghetto ass house in oakland for 900 grand would go to 2 million.. you knew it was bullshit.. it was all a lie and you bought it anyway.

Still too low imo, it should top out at 15-17%

>>52242831
This. Tired of cardboard houses going for 10x average income

>>52242827

>>52242934
Then move to a part of the country where that isn't the case.

>>52238339
You copers don't realize that if he's paying about 2.5% he pays the same monthly as someone who bought it 50% cheaper but is paying 7% rates. You just cannot into math nigga.

>>52243093
All those red areas are gonna fall so so far people's heads will spin, 700k houses back to 400k easily
>Nooooo it will crab, housing can't go down that far
Watch it

>>52242772
>low-income borrowers
Nigger, no one that qualifies can buy a fucking home

I’m a contractor building these shit boxes how fucked am I?

>>52238958
same as it ever was

>>52243577
You qualify if you make less than 88k.

>>52237793
>simple interest on a savings account still 1%
yeah. thanks jews

>>52243931
Because banks don't need money. Why would they, they have no reserve requirements

>>52239477
Cope.
House prices are never coming down.

>>52237793
> Americans will have to learn to buy after - not before they have money.
Oh noooo!

>>52243931
u should be geting at least 2 by now nigga

>>52237793
At 10 percent house prices will fall.

>>52244425
They've already dropped 10% and inventory is way higher than it was in January.

>>52237793
My brother and I bought a cabin in 2021 at 3.125% and now I am looking to buy my own home in the near future for my small family (gf and pets and I) and I think i'm just going to go for it when the time is right. Talk to any boomer or gen xer and they will tell you their rates used to be 9-13% or so. There's always the option to refinance when rates go lower.

The main reason i feel this way is my personal thesis on real estate is that supply is still much too low while demand remands strong. Due to terrible zoning practices in US, they cannot build homes fast enough. Coupled with high interest rates, sellers aren't exactly eager to jump into a new rate. There won't be significant change in the supply until massive droves of boomers start dying from natural age. We're about 15 years away from that still.

>>52241635
>>52243472
As long as someone can meet the mortgage + all other expenses without being stretched to do so then they're in good shape. The issue is if you stretched yourself out financially to do so and have a setback that snowballs or if you lose your job which is a common symptom of a recession.
>>52244425
Either home prices come down or interest rates come down but you can't have 8% rates and climbing and expect homes to be the same prices as when rates were 2%. I don't think you retards understand how a market works but something is only worth what someone else is willing to pay for it and every time the Fed hikes rates the pool of buyers at a price point gets smaller and smaller.

>>52246098
>boomers paying 9-13%
The rates aren't the only thing that matter. Its the product of the rate + the sale price. (+all the other expenses like taxes, insurance, maintenance, etc). Yeah, your parents paid 12-20% in interest rates but it was on a place that was $75k in 1985 when everyone was making $40k/yr and is now $700k in 2022 when everyone is making $60k/yr

>>52244425
They will, but interest rates will still be high, so you still wont be able to afford them. BlackRock will come in and slurp the dip with all their free cash. Prices will go back up and interest rates will come back down once they own all the houses.

>>52237975
Like Exxon Mobil?

>>52239477
>>52244425
Inflation will outpace any price correction. If you didn't buy before April 2022, you're kind of fucked for a long long time.

>>52237844
I got 2.5% as well but on a 15 year. Feelsgood

>>52237793
We honestly are not in a bad position. Sure, asset prices will lower, but that is only bad for Sellers, Real Estate Agents and corporations that were using high asset prices as debt leverage. All of society benefits from lower housing asset prices.
>>52237844
That is good if it is your forever home. If you need to sell now or in the future then it's over.
>>52237960
Americans, especially Millennials and Zoomers, do not have cash. They barely qualify for a 3% downpayment. The buyers during the past two years have been some FOMO Gen X and Millennials but a lot of investors. Boomers bought so long ago that they don't care if it drops even 40% especially since many of them are not moving as much in their older years unlike what their parents did.

>>52237844
>>52241665
>>52246302
but still overpaid by 70-90% of what the home's actual value is, while also waiving inspections. feels good to be retarded i guess. enjoy those repair costs and 50% annual property tax hikes

>>52238339
>any day now

>>52237793
>9-10% mortgage rate
that was my parents' rate back in like 1991

>>52246716
>>52237844
Is your job locked in? Will you still be able to service the monthly payment if you get laid off?

>>52242831
that's what ultimately fixed carterflation

>>52237793
Seven point three percent.
Say it out loud, /biz/.

>>52246098
>small family
>pets

>>52246716
It's also worth noting that the lower the down payment the more money that is being financed which means the lower the price of the property a person will be qualified to purchase.
The average sale price in my state is $500k in 2021. I just pulled up a $499,900 home nearby and set the down payment to 3.5% and w/ taxes, PMI, home owners insurance, and principal + interest it gave me $4,424 /mo.
That's before utilities, repairs, furnishing the place, buying groceries, your car payment, your student loan payment, your cell phone bill, health insurance, putting gas in your car, gym membership.
Even if you put 20% down you're paying $3400 so while that's $1,000 better it means you're coming out of pocket $100k. That's fucking retarded.
Imagine spending $100k just to still pay $3400+ /mo when you could just flip crypto and buy a place in cash after 1 bull run if you know what you're doing and 2 if you had to use the first one as a learning experience.

>>52246844
This. What a kwab. Most of the time when someone owns a pet it is a liability instead of a benefit unlike historically. Why did people have a cat? To take care of pest issues on the farm or in the town or city. Why did people have a dog? To help herding at the farm or to help with the hunt. Why did people have pet goats? To mow the lawn and provide milk. Why did people have pet chickens? To take care of bug pests in the garden. Now adays pets are a drain of monetary resources that could go to you and your family. They cause couples and singles to replace children or lovers with the dog. You spend so much time taking care of the pet too. Take the no pet pill /biz/

>>52246855
Salient point there anon and with safer investments providing a better return than in the past decade and a half, highly leveraged and risk assets are much less attractive.

>>52243472
If they're both paying the same monthly amount, the person who overpaid for their home purchase is not the winner.

>>52237975
Link me to where you can get a mobile home loan at 4-5%..

so.......... just don't fix your mortgage for 30 fucking years if you're buying right now? just go on variable and refinance when they inevitably drop rates again

>>52246760
>that was my parents' rate back in like 1991
Except even back then you could work at McDonalds and buy a modest house.

My plan is to purchase some vacant land in the country and then gradually develop it into an acreage as I go. I’m not terribly bothered by the rising rates because I will have to put 50% down anyway. Just hoping that the housing price decline is mirrored somewhat in raw land by late next year.

>>52244444
Checkin these digits

7.3%!!! Holy fucking shit how long until we see bodies hit the floor?

>>52237793
ha, i could have done way better if id acted sooner. but i'm locked in at 4.5%

heh, nothing personal kid

Guys my boomer uncle paid 12% on a house 40 years ago. Sure the house cost 1/10 what it does today and incomes have not kept up at all and you could earn 12% risk free interest in a savings account but its exactly the same thing quit complaining.

>>52237827
>n-words
you are not on reddit, please abstain from using this

>>52247127
>adjustable rate in a rate hiking environment
>>52246760
Ok. Now go look up the sale price and find out what your parents were making in 1991.
>>52247289
>that divergence in 2020

>>52237793
You guys spend years whinging about how the govt and the Fed are being fiscally irresponsible pansies holding interest rates at 0 printing free money for years and now that the Fed is doing its job you're whining about the cost of things starting to go up?

>>52237793
>The 30 year fixed rate on a home loan will soon be 9-10%.
More like 15-20%.

>>52247462
They should as the fed literally ISNT DOING ITS JOB. ON PURPOSE. If they we're interest rates would already be double (triple) what they are now.

>>52239563
I'm sure no one else ever thought of that

>>52247338
Jannies ban you for saying it here now. It's fucking ridiculous.

>>52237844
2.5%, 13 more years here.

>>52247518
>>52239563
This is the canary in the coal mine. All you ravenous apes that are all ready to start "sippin dips" are turning a blind eye to the fact that all of you chimps are squirting that diarrea out of your mouths. I'll make "Finding a price floor 101" really simple-if everyone has cash on the side ready to buy then:
1) thats your competition
2)hopefully their threshold to buy in is the same as your autistic ass (hows it going timing the crypto market?) and you don't miss "your chance" to buy-in (you already have)

/biz/ is right for all the wrong reasons, and wrong for all the right reasons 99% of the time, but on housing I'm witnessing some of the most nega-brain reasoning I ever have. Reddit-tier honestly.

>>52237827
what wrong brudda yiu dont like my music teastes?

>>52246727
It was a refi, I bought back in 2018. Stay poor.

>>52237844
Me to! 2.05% and I didn’t overpay by much in a bad economic scenario. The place is right in town in a really desirable location come hell or high water I can always sell. Right now I could probably sell it for a bit more than I bought it for. Could probably sell it near double what I owed before interest rates started going and if the economic down turn is really that bad I’d be about 5k under water. It was a good deal for me.

>>52237844
>29 years
>He bought a house last fucking year
>Glad
Kek
>>52243472
>There are people who unironically believe this
>>52247604
>Bro if prices go down people will buy and price will go up
>It's called a price floor bro crypto twitter told me about it
These are the retards calling you priced out.

>>52237827
If you are Jewish you can get interest free loans from your local synagogue.

>>52247917
>I implied prices would go down at all
no faggot, I am stating that they won't. And the reason is because retards LIKE YOU and even RETARDS LIKE ME (homeowner) BOTH have money on the sides (guess what I'm saving for? Might be similar to you). I guess I should just sell you my house because...I want prices to go down for my next purchase...? (thats what you sound like [a dumb gorilla]).

>wHeRe iS eVeRyOnE gEtTiNg ThE mOnEy
same place as you hotshot, those market moves the last two-three years along with $100k+ salaries for the most benign of HR positions didn't separate you from the chaff as much as you might think.

>>52248074
>fails to understand how prices work
>Doubles down retardation by saying prices won't drop in the first place
They have been dropping for months you brain dead retard. I don't even know what you mean about selling me your house and ranting about HR salaries but it has nothing to do with what I said.

>>52247289
>Base rate 3.75%
>Mortgages 7.3%
>Savings account paying 1.3%
normies are ngmi

>>52241665
What’d they do?

>>52248113
>They have been dropping for months you brain dead retard.
Sure, I'll consneed that point that in Eagle, ID, Provo, UT and the other gamut of zillow-tier towns HAVE dropped a few single digit percentages(probably in relation to their triple digit increases in price-but hey, fuck the macro right?) You're an ant brain trying to pretend you're a beetle brain while competing with elephant brains retard.

YOU (and millions of others) WAN and are PREPARED for a price drop in homes, soof course thats going to happen, right?

Just like how stocks, crypto, and other assets were going to be the places to be in during this rampant inflation-since inflation means inflated prices, right? OOOOPPPPSSS that didn't happen though, did it? Maybe those boomer lessons your spewing are no longer as relevant as you think, faggot.

>>52237793
>>52237844
>>52246213
>>52246098
>>52246716
>>52246855
half the people here seem to be playing in the system the other half seem to be putting their faith into crypto to save them. i wonder which group is going to win

>>52248278
If the housing market is fine then why are realtors, lenders and leveraged home builders already screeching for bailouts and not only screeching for a bailout, but screeching for one before the shitlibs lose Congress?
I understand why the average homeowner thinks everything is fine: because they are retarded.

>>52248376
It's not an either/or scenario as we aren't counter trading each other. He doesn't need for me to lose for him to win and vice versa.
There was a massive bull run over the last 10 years across all risk on asset classes and crypto was the clear winner.
It doesn't mean real estate didn't do well also just that crypto just did a lot better.
At the end of the day each of us has to make decisions about how we manage our money and factor in a lot of different individual differences.
Personally, I just don't see the point in putting $100k down on a piece of property selling for $500k that was worth $200k when it sold 10 years ago when I can 10x that money in 1 bull run on crypto.
Additionally, we've already seen the equity and crypto markets sell off as they are forward looking rather than reactive unlike real estate markets.
With the current interest rate + average listing price + expected recession it tells me real estate still has a long way down to go and hasn't even started it's correction phase yet.
The real estate price bubble was built up on so many things are gone and going away I just don't see how it's supposed to even maintain let alone go higher.

>>52246768
Is your job locked in? Can you pay rent on the 1st if you get laid off?
>faggot

>>52248278
>Wall of cope with no point
Ok bro maybe stop posting now

>>52237960
> Why not just buy a home with cash?
Why not just set your money on fire? Buying a home with cash is something only an utter fool with no economic understanding whatsoever would do, it’s voluntarily reducing the purchase power of your money until they are worth almost nothing. Who, that actually understand this, would freely decide to do it? Of course nobody. So it is 100% a fact that anyone who talks about buying homes in cash is a true, bona fide idiot.

Notice how shelter is one of the baseline needs. Jews have convinced you retarded golems to treat shelter like a fucking commodity. As someone who is born onto the Earth, you are literally entitled to own land and do what you want with it.

>>52237844
>2.5% on 500k or 10% on 350k

>>52248376
Everyone is fucked.
>average income has gone down since people lost their jobs in 2020 and took worse ones
>people still getting laid off
>cost of everything is 50% more
And it's all because cocksuckers spent all their savings and credit card debt is back to where it was before covid. People are such fucking NIGGERS.

>>52246987
you just know.

>>52246727
>>52247775
In the short term there will be pain for top buyers, but the restrictions on abortions and millennial women getting desperate for babies due to putting it off for so long will/is resulting in increasing birthrates. All of these mutts and white trash and 39yo almost-wine-aunts escaping from lifelong childlessness will pump his bags in a new baby boom that is beginning in earnest and will really p-p-pump up in 2025 when anyone who isn't biden becomes president and removes the most retarded policies which have crippled the economy by fucking up oil prices in a batshit insane jewish plot to force people to buy EVs.

>>52248494
Sorry, but on average, money equals IQ. People who are smart make money and buy houses. Those are the people to listen to. People who are dumb sit around seething and calling the smart people retards, while not being able to afford a house. Those are not the people to listen to.
So unfortunately this simple analysis has shown that you, in fact, are the retard who should be ignored.

>>52248849
It’s not that hard to get his point, you can do it.
When prices go up fast, as they were, lots of people become priced out. That means a backlog of people with money waiting for prices to go down again. As prices do go down, there’s a pent up buy pressure that means the bottom will be higher than you probably think.
I know it’s impossible for many of you to think using a different template than “this seems bad for existing homeowners, so it must be good for me!”, so you tend to hold on to the fact that dipping prices looks bad for me, a homeowner. What you’re missing out on is that me being mildly inconvenienced doesn’t in fact imply that you are not utterly uber fucked. Because if you were priced out before, you are even more priced out now. Prices won’t go down enough to make up for rates going up. The backlog of eager buyers means the price floor will be higher than you can afford. Basically, every move by the market, up or down, will only work to bring you further from the option of home ownership. You can’t wait for the housing market to improve, when it comes to houses buying today is always better than buying tomorrow, because the market is only goong in one direction: not the direction of prices always going up, but the direction of affordability (prices+rates) always going down. Every day you wait, you become more priced out, except of course during the best years of your career where your purchase power should climb faster than house inafforfability.

>>52237844
In 5 years your house is going to be worth half of what you paid for it and then the fed will lower rates again to stimulate the economy. Simple as

>>52237793
how do you pay that on a 300-400k loan? thats 30k~ in interest alone a year

>>52248278
>spending half a million
>wage slave for 40 years
>not even able to pay off the loan because dead at 65
>just because want to live in some rundown shack in some shit hole full of spics named Provo
Such amerimutt dream.

>>52248278
Where did you go for your mission?

>>52237793
It's coming.