/biz/ - Business & Finance

[Anonymous No.55129106]

>LENDING STANDARDS ARE HIGHER THAN THEY WERE IN 2008
>ARM MORTGAGES AREN'T NEARLY AS POPULAR
>MORTGAGE DELINQUENCIES ARE ACTUALLY VERY LOW
>MOST QUALIFIED BUYERS IN THE HISTORY OF THE UNIVERSE
normies are getting really desperate.

[Anonymous No.55129116]

>reddit advertising
>Buy my boomer box
Lol

[Anonymous No.55129126]

>>55129106
ponzi economy

[Anonymous No.55129133]

what does the image have to do with the premise?

also just two more weeks!

[Anonymous No.55129137]

>>55129133
Nothing ever happens

[Anonymous No.55129150]

>>55129133
$75k combined income (not married either) was approved for a $390k mortgage.

[Anonymous No.55129158]

What is the redditkek's question? He's just nervous?

[Anonymous No.55129159]

>>55129106
>> 6.9% rate
kek. he's gonna pay 3 houses off by the time his mortgage is finished and he has 0 freedom. its probably a cardboard box house too

[Anonymous No.55129181]

>>55129137
Look at that cat!

[Anonymous No.55129184]

>>55129133
>>55129150
to put this more explicitly, their estimate of $3.5k/mo for mortgage + taxes + utilities is probably accurate. $75k is about $4.5k/mo after taxes -- for two people. good luck paying for two adults in exist in this world (food, transportation, etc.) on $1k/mo.

[Anonymous No.55129198]

>>55129106
A real shithole with all the retards, faggots and zealots moving there from across the country just to escape taxes, but they don't mind that road and gas tax.

[Anonymous No.55129237]

>>55129184
>to put this more explicitly, their estimate of $3.5k/mo for mortgage + taxes + utilities is probably accurate. $75k is about $4.5k/mo after taxes -- for two people. good luck paying for two adults in exist in this world (food, transportation, etc.) on $1k/mo.

The poster says 90k in savings still after the down payment... I think they're going to be fine.

> t. financelet

[Anonymous No.55129299]

>>55129184
They have an ample emergency fund and one's still in school
they expect their incomes to go up in a short while, and if to be believed they will marry

on its surface none of this looks too dire

[Anonymous No.55129356]

>>55129299
they're projecting $110k/year combined income, after they finish school. i make that much by myself and i draw the line of affordability at a $350k house with 20% down. a $490k house with 20% down on $110k/year income, let alone household income (twice the food and transportation expense) is a financial death sentence.

[Anonymous No.55129369]

>>55129299
that doesnt change the fact that they'll have $1000 a month to live on including utilities. buying something out of your range with the expectation that everything will only get better is how people end up in foreclosure.

[Anonymous No.55129401]

>>55129369
>that doesnt change the fact that they'll have $1000 a month to live on including utilities. buying something out of your range with the expectation that everything will only get better is how people end up in foreclosure

They have 90k in savings, they can float for a while.

[Anonymous No.55131251]

>>55129137
Oh what a cuuuuutie

[Anonymous No.55131503]

>>55129133
>also just two more weeks!
Good Luck,

Mike

[Anonymous No.55131565]

>>55129299
>one's still in school
>they expect their incomes to go up in a short while

[Anonymous No.55131566]

>>55129356
My wife and I make a combined $215k and we’re in a $525k home, 10 year fixed at 4.5% ARM after 10 years, 30 year term mortgage. Our mortgage payment is $3400 a month and it’s not difficult to pay. We are somewhat frugal. Aside from the mortgage she has $0 debt and I owe $20k on a truck.

[Anonymous No.55131620]

>>55131503
based knower. but please stop posting this. At least for a year or so. Let them suffer.

[Anonymous No.55131648]

>>55129106
The recession is here, it was just done is such a covert manner that modern people don’t even realize their living standards are worst off then they were during the bottom of the Great Depression.

[Anonymous No.55131731]

>>55129106
>Am I stupid for putting all my eggs in a basket?

[Anonymous No.55131863]

>>55131566
With that sort of income you should be paying at least $8k off per month. I hope your $3.4k figure was your min repayments, not actual.

[Anonymous No.55131913]

>>55131503
Stop posting this. The people who aren’t already aware of how this will play out over the next 3.5 years are cattle & they deserve only misery.

[Anonymous No.55131986]

>>55131648
this. My great grandmother grew up during the depression in the rural midwest and her impression of it was that it wasn't nearly as bad as the government rationing during WWII. We have all been propagandized with fear porn.

[Anonymous No.55131989]

>>55131566
Depends on location. I have seen many nice neighborhoods turn into Section 8 rentals and the old owners get trapped in the house they raised their family in.

[Anonymous No.55132002]

>>55129106
>this movie again
Holy shit are people really this stupid?

[Anonymous No.55132087]

Is real estate even crashing? Cnbc says it isnt

https://www.cnbc.com/2023/05/30/home-price-declines-may-be-over-sp-case-shiller-says.html

[Anonymous No.55132211]

>>55129299
Anon, the reality is right now their combined income is $75,000. It doesn't matter what they expect, it's not a sure thing especially today. Emergency funds are for emergencies, it's something you dip into when things are not going well, not as a fallback for a home purchase.

[Anonymous No.55132275]

>>55131503
In Canada things might actually be different.
Our government is standing on the immigration gas pedal and plans to continue for the rest of the century. No matter which party wins the next election there is no end in sight for this. Supply is very tight and if prices dip at all there is a whole generation of leafs desperate to buy one.
The government itself has taken a direct stake in the housing market and is thereby incentivised to pump it. We have a first time homebuyers incentive program where they provide a portion of the downpayment and then take a stake in the ownership of your house. First time homebuyers also only need 5%.
Our population is pumping by 1.1-1.2 million per year and there is nowhere near that much new inventory, so local and provincial governments are offering tax credits and other financial incentives to split up existing homes into duplexes and triplexes.
Further, the bank of Canada has chosen to pause rate hikes and has held rates steady through the last two American hikes, which in my humble and ignorant mind means they will choose to preserve the housing market over the value of the CAD if forced to mame a choice.

I hope I'm wrong

[Anonymous No.55132335]

>>55131863
I’m just going to keep refinancing so I see no need to get rid of liquidity just to bring down my principal. I’ll sell this house in 18 years when my second kid graduates HS and by then the value will be hand over fist more than I paid.

I believe in low down payment and low interest rate/keep your liquidity and don’t tie it up in illiquid assets.
>>55131989
Not impossible for me, but unlikely. My city is on the upswing with 5000 current residents and several thousand homes coming in over the next two years.

I’m in the DFW area due north of Ft. Worth and Alliance airport. Homes are still selling like hot cakes around here and with all the NYCs and LAs of the country stepping on their dicks I can’t see Texas not continuing to grow, though I’ve been wrong before, so we’ll see.

[Anonymous No.55132492]

>>55131503
Based Mikeposter.

[Anonymous No.55132704]

>>55131503
This is invalid & old data. To many new economic & geopolitical variables at play which puts everything out of wack. Things aren't going to play out exactly like this, a correction sure but not a full blown crash. The banks have been more prudent then before.

[Anonymous No.55132794]

>>55129133
OP is quoting all of the people that claim we have a sound and resilient mortgage system since 2008. The fact that the redditor was approved means that mortgage standards are still sketchy.

[Anonymous No.55132917]

>>55132335
>cardboard house
>DFW
>muh city
Anon, I....

[Sage No.55133002]

>>55132335
>Dfw north of fort worth
>5k pop
Lmao this nigger bought a half a mil shitbox in fucking Krum Texas on a fucking ARM lmaoooooo nigger you are retarded!!!

[Anonymous No.55133147]

>>55129106
>buying property in texas
>buying property in fucking DALLAS
That shithole crater of a state can sink into the ocean, what an absolute hellhole. DFW is filled with depressed californians and insane natives and since they don't have any income taxes you pay more than NY for sales tax and property taxes that would make the sheriff of nottingham blush. All of that to own an overpriced building built by slave-labor illegal immigrants and prone to flooding.

[Anonymous No.55133215]

Well Im just a stupid fucking leaf, but the crash here will probably happen within the next two years. I say this because delinquency rates on CC/auto loans are continually rising. People not being able to pay those are a precursor to not being able to pay their mortgage. Canada also has the highest household-debt to GDP ratio in the G7 at 107 per cent. introducing a 30 year mortgage only held off on the collapse a bit.

Plus...just take a look at the overall market sentiment. It's very similar to before BTC crashed. A bunch of fucking retards who are too stupid to invest, see people making money, and decide to jump in thinking it's an easy way to quickly get rich. As soon as the retards have piled on, it crashes. I see A LOT of retards piling into real estate now.

[Anonymous No.55133347]

>>55133002
>Sage
that goes in the option fields
not on Name field

[Anonymous No.55133480]

>>55129106
here's my recent homebuying experience

>trying to buy investment property to renovate rent to my in-laws
>household income is $220K. have $45K saved up. approved for >$400K even though we didn't want to spend that much
>found a property that we could make some repairs to. we make an offer for $53K
>offer accepted. a week before closing the lender changes the loan terms. effectively won't loan us the $30K or whatever we need, even at >8% interest
>lender pushing us to buy a more expensive home instead. basically they can't/won't underwrite a home that is this cheap + needs some work
>lender adds impossible terms to the loan such that we can't close
>end up dumping the lender and paying cash instead

[Anonymous No.55133553]

>>55132087
It's down about 3% seasonally adjusted. But it's way more local. California for example is experiencing double digit drops from its peak, while the northeast barely moved.