41–50 of 132 posts
Great initiative and beautiful site! Tiny nitpick, the wrapping of the controls above the table on my phone could probably be improved. What did you use for the table?
The data table is based on https://svelte-headless-table.bryanmylee.com/
Earlier quoted context omitted.
just makes the prices higher... you qualify for a house based on ratio of income to payment. so the demand is heavily influenced by the type of financing available.. Other than natural demand, Australia has a high real estate market due to the tax and a superannuation/pension distortions. Should try to fix those first. (probably impossible)
And as I pointed out in a sibling comment, it can lock you into your house if interest rates go up. We can’t afford to sell our house because the extra interest costs would increase our monthly payment by 50% even if the house cost the exact same as our current one.
Let's put a number on it. Since the article uses $400k as a reference point, let's use that. You could afford to buy a $400k house back when you bought your current house. You cannot afford to buy a $400k house today. That would be true whether or not you had purchased your current house, and regardless of the interest rate on its mortgage if you had.
You only "can't afford to sell your house" if you're underwater on the mortgage and can't come up with the money to sell it.
God I wish we had 30 year fixed mortgages here in Australia. Imagine getting one of those during covid when rates were below 3%. Incredible.
Navy Federal has always had competitive rates: https://www.navyfederal.org/loans-cards/mortgage/mortgage-ra...
Membership requires a military connection in the family, but it can go back to grandparents: https://www.navyfederal.org/membership/eligibility.html
Earlier quoted context omitted.
just makes the prices higher... you qualify for a house based on ratio of income to payment. so the demand is heavily influenced by the type of financing available.. Other than natural demand, Australia has a high real estate market due to the tax and a superannuation/pension distortions. Should try to fix those first. (probably impossible)
And as I pointed out in a sibling comment, it can lock you into your house if interest rates go up. We can’t afford to sell our house because the extra interest costs would increase our monthly payment by 50% even if the house cost the exact same as our current one.
Earlier quoted context omitted.
just makes the prices higher... you qualify for a house based on ratio of income to payment. so the demand is heavily influenced by the type of financing available.. Other than natural demand, Australia has a high real estate market due to the tax and a superannuation/pension distortions. Should try to fix those first. (probably impossible)
And as I pointed out in a sibling comment, it can lock you into your house if interest rates go up. We can’t afford to sell our house because the extra interest costs would increase our monthly payment by 50% even if the house cost the exact same as our current one.
Earlier quoted context omitted.
And as I pointed out in a sibling comment, it can lock you into your house if interest rates go up. We can’t afford to sell our house because the extra interest costs would increase our monthly payment by 50% even if the house cost the exact same as our current one.
I still don't understand how this means you "can't afford to sell your house." It just means you can't afford to buy another house at the same price as the one you have now. That's a different problem, and one that doesn't actually have anything to do with the interest rate on your existing mortgage. You can't afford to buy a house today at the same price that you could on the date you closed on your current house, b…
We feel trapped because we would have to massively downgrade to move. Obviously, we COULD do that, but we don't want to.
You are right, we also couldn't afford to buy our current house if we currently didn't own a home, either. I am arguing that the fixed thirty year mortgages artificially drives up prices, which means that you are stuck and can't move whenever interest rates are high.
If we didn't have the fixed thirty year mortgages, housing prices would have never gotten so high, and buying and selling houses would be a lot easier, and people could move to where they want to be much easier.
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There are downsides. I have a really great rate on my mortgage, but our house is super expensive and small for our family… but now we can’t afford to move. If we moved to a new house, we would have to pay off this great mortgage and get a new one, at a much higher interest rate. Even if we found a house that cost the exact same as ours, the monthly payment would be 50% higher, because current interest rates are more…
Would renting it out be an option?
The mortgage tax deduction is another thing that drives up home prices.
God I wish we had 30 year fixed mortgages here in Australia. Imagine getting one of those during covid when rates were below 3%. Incredible.
There are downsides. I have a really great rate on my mortgage, but our house is super expensive and small for our family… but now we can’t afford to move. If we moved to a new house, we would have to pay off this great mortgage and get a new one, at a much higher interest rate. Even if we found a house that cost the exact same as ours, the monthly payment would be 50% higher, because current interest rates are more…
Sellers arent willing to lower prices AND lose a low rate and buyers aren't willing to pay those prices and expect a buyer's market.
Nothing is moving and realtors are hurting.
Something has to pop the bubble, will it be massive job loss that forces relocation or sale for cash and move to apartment?
Who knows?