Posted by moshark99 on 13th of May 2022 at 09:33 am
I have a question, perhaps someone could answer: If most now
have mortgages at 3% or less and rates begin to rise rapidly, who
is going to end up holding the bag? It seems to me that was a big
issue in the S&L crisis years ago
it's a huge issue all around. An issue for folks even who have
3% mortgages who bought last year and didn't put much or anything
down and when the housing market goes through a crash they now have
negative equity house worth less than they owe.
It's obviously worse for folks who just bought recently with 5
or 5.25% year year mortgages and then go through a housing drop -at
least guys who have the 3% loans that that lower payment going for
them but their house will still drop
I've had some ask me if they should think about selling their
house and renting for a while? Or buying a cheaper smaller house
and then try and buy something a few years from now
anyway there's a lot of things that's going to happen over the
next few years
anyway better for you to ask non stock market questions after
market when folks are not watching the market and it doesn't get
buried.
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I have a question, perhaps
Posted by moshark99 on 13th of May 2022 at 09:33 am
I have a question, perhaps someone could answer: If most now have mortgages at 3% or less and rates begin to rise rapidly, who is going to end up holding the bag? It seems to me that was a big issue in the S&L crisis years ago
it's a huge issue all
Posted by matt on 13th of May 2022 at 09:45 am
it's a huge issue all around. An issue for folks even who have 3% mortgages who bought last year and didn't put much or anything down and when the housing market goes through a crash they now have negative equity house worth less than they owe.
It's obviously worse for folks who just bought recently with 5 or 5.25% year year mortgages and then go through a housing drop -at least guys who have the 3% loans that that lower payment going for them but their house will still drop
I've had some ask me if they should think about selling their house and renting for a while? Or buying a cheaper smaller house and then try and buy something a few years from now
anyway there's a lot of things that's going to happen over the next few years
anyway better for you to ask non stock market questions after market when folks are not watching the market and it doesn't get buried.