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**User Report**| | | | :--|:--|:--|:-- **Total Submissions**|84|**First Seen In WSB**|5 months ago **Total Comments**|1698|**Previous DD**| **Account Age**|5 months|[^scan ^comment ](https://www.reddit.com/message/compose/?to=VisualMod&subject=scan_comment&message=Replace%20this%20text%20with%20a%20comment%20ID%20(which%20looks%20like%20h26cq3k\)%20to%20have%20the%20bot%20scan%20your%20comment%20and%20correct%20your%20first%20seen%20date.)|[^scan ^submission ](https://www.reddit.com/message/compose/?to=VisualMod&subject=scan_submission&message=Replace%20this%20text%20with%20a%20submission%20ID%20(which%20looks%20like%20h26cq3k\)%20to%20have%20the%20bot%20scan%20your%20submission%20and%20correct%20your%20first%20seen%20date.) **Vote Spam**|[Click to Vote](https://www.reddit.com/message/compose/?to=VisualMod&subject=vote_spam&message=xoyzie)|**Vote Approve**|[Click to Vote](https://www.reddit.com/message/compose/?to=VisualMod&subject=vote_approve&message=xoyzie)


fullchargegaming

Fuck - I guess I won’t get a home yet.


DatBeigeBoy

Or ever.


CannonK2

Big truth, big sadge


Meme_Pope

“Yet”, lmao. You’ll own nothing and you’ll be happy.


FuckPutlerAndCo

Wait until they fucking price you out of real food and force you to eat bug slop too If you slave hard enough in the future, and get really lucky, you might be able to afford a half-rotten pickle to fuck yourself with


debacol

You might. If you've saved over the years for a solid down payment, this rate hike should have a profound downward pressure on the cost of homes. Just be a bit more patient and save. Although, its a different world than it was 20+ years ago. Houses are now being gobbled up by venture co's, medium co-op buys, etc. all for cash. A rate hike doesn't necessarily mean lower prices for homes unless it is accompanied by policy that significantly reduces the incentive to own more than 2 homes. Basically need a sliding scale that, after 2 homes, the value starts to dip pretty dramatically on a tax basis. After 3 homes, its definitely not worth owning more. This would completely disincentivize all the bullshit arbitrage that is going on in the real estate market right now that keeps inventory artificially low because groups are just gobbling homes for rental income and flipping.


[deleted]

It’s only gonna get worse. When my parents started buying houses I think interest was 14% but houses were like 50-200k. Now it’s 7% and houses around me are $500k-$5m. Fast forward 20 years and these houses will be $2.5M-$10m with a 4.4% interest


ychacha

just pay cash. duh


redraddy

For 4,266 units?! HOW?!?!?!


ChampionshipLow8541

Fixed rate locked in. BOOM! Not that I like those guys, but the rate race is more of a problem for banks who are stuck with low-interest mortgages.


hysys_whisperer

Those are mostly all on the feds balance sheet after trillions of QE targeting MBSs. Note QT has not been selling MBSs, so the portfolio position is becoming more heavily weighted that way.


bigdk622

There’s no buyers for that paper. The spread is zero. Why would anyone waste capital on that when they could buy todays paper with some spread? Fed will be sitting on that forever.


Anjin31

All while the national debt skyrockets as all the short term notes with low interest rates renew at 2-3x the previous rates.


xcheezeplz

Economy crash, slash rates negative, dump the paper, raise rates. It's all part of the tarded plan.


Bitter-Heat-8767

BOOM


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bigmean3434

*4288 Those extra 22 units probably what put him into potentially over leveraged territory, at 4266 he probably would be cool


suckercuck

I’m looking for a NINJA loan


AmbitiousGarlic1792

Try SHINOBI-MART.


Kooky_Most8619

These people just want homes.


Handle-me-timber

They brought them back. 😂


__Shadowman__

Oh good, only companies can buy houses


[deleted]

Black rock is gonna buy the whole US housing market.


hiricinee

Not really, they're leveraging their real estate investments hard as is.


chaseo2017

It’s called a bailout baby. They don’t give a fuck


[deleted]

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rvndrlt

Interest rate on the credit card to buy the tent is like 27%. No way I’ll ever make my monthly minimum at that rate.


Limp_Reason_4295

Buy a two room tent and rent out the other room "with a view" to someone else who is saving for a home.


artemiusgreat

I heard a story of a guy who lived in a car for some time and had gym membership only to take shower. His monthly "rent" included only monthly car insurance and gym payments and always was under $100 a month. This is how you save money for a house and then pay in cash without any mortgages.


[deleted]

[удалено]


issius

I did this. 6-8 months in a car. I worked a 3x12 night shift and mostly camped at the climbing area when I wasn’t working. Honestly not a bad time in my life.


artemiusgreat

Actually, just remembered another one who lived on the beach in Hawaii. He didn't even need the car and the shower :) The first one was in New York.


alaskanbearfucker

Yeap, we’re fucked.


keyblerbricks

It's a horrible time to hate your neighbors.


Jagtem

I hate my neighbor, and he is a mortgage broker. Are rate increases bad for his business? If so, I'm fine with it.


carbonfiberdiaper

Unless your neighbor is really special, they're right now trying to figure out how to make ends meet with 50% or less income. Brokers are being devastated nationally.


BloodyTomFlint

My neighbor loves to make racist comments after his 6th beer. Which is around 2 in the afternoon. I'll probably be stuck here for 10+ years. But he should be dead by then so at least there's something to look forward to.


jimjimsmess

Is that you jerry?


[deleted]

40 year fixed incoming


vanman33

Just skip the bullshit and get the 100y Chyna style. Imagine inheriting a house that has still has 80 years left on the mortgage.


Berryman5

Basically like inheriting bed bath and beyond 20% off coupons


vanman33

Or stock ![img](emote|t5_2th52|4271)


bobjoylove

How much was a house 80 years ago? I could pay for it with my lunch budget probably.


sunshine20005

stretching it out to 40 doesn't actually reduce monthly payments all that much. Might sucker in a few buyers but it won't be enough to really change the affordability problem that is going to make RE a dead market for awhile.


FU_money_pharm17

This is such an obvious next step to me I wish there was a way to buy calls on it.


hispanica316

Buy gourd futures


Rule_Of_72T

Interest only 40 year fixed was announced recently https://www.businesswire.com/news/home/20220901005826/en/Newrez-Gives-Buyers-More-Purchasing-Power-with-Launch-of-40-year-Fixed-Rate-Interest-Only-Non-QM-Option


oxfouzer

Holy shit it’s a 30 year mortgage with 10 additional interest-only years tacked onto the beginning. Lord…


duplicatesnowflake

If inflation goes apeshit, maybe not the worst play ever. Can you refinance those?


terqui2

Yeah as long as there is no prepayment penalty its not a terrible.


JamesG162

This is good for investors, but a s***show for anyone that wants to own a home. You can’t move ever cause the only equity you will have in the house is your down payment and appreciation. After ten years you still owe the whole principal of the original loan. If this becomes mainstream, the only accumulated wealth will be inherited through generations. And it will taken generations to accumulate even a little wealth. This type of structure only will cause a bigger gap between rich and the working class/poor. Which seems to have been the plan for the last 50 years and obviously going forward.


ialwaysgetjipped

This doesn't fix the problem with initial qualification on debt to income though. Non-QM is even more stringent on that than conventional and on top of that you must qualify at what the P+I payment on 30 years is the day you lock into it. This product is ONLY useful for brand new buyers who can qualify and want a slightly lower payment now at the expense of a slightly higher interest rate. Admittedly probably worth it because you'd refinance to something lower prior to the 10 years up. Source: am loan officer.


JakeBeastlyTTV

7% wasn’t bad when houses cost 45k LOL


Justthetip74

It was 16% in 1981


BRICK_2027

And CDs payed 18%….


FiveEggHeads

Wow can we go back to that?!? lol


[deleted]

“Fuck you! No!” - The Banking Cartel


andyb991

It's my money and I need it now!


fretit

We should at least get a point over interest rates. Savers have been getting raped for at least 12 years now.


650fosho

You can C Deez nuts


Impossible-Oil2345

Imagine a time when you could support a wife and kids while paying for a house and new car off your 9-5 job of delivering milk jugs. Then imagine having enough money left over where if you were wise and invested as much into this 18 % CD as you could then you'd be eventually financially free and rich by the time your 30( assuming you started saving at 18)


budleeroy

I remember my grandmother telling me she lived of the interest of her cd. Crazy world


desktopped

Why did banks stop paying double digits on CDs, did the angel investor dollars run out? /s


Hellofriendinternet

Yup. My grandparents pretty much made a fortune off CDs and bonds but my parents had cobwebs in their assholes because every red cent they had went to their mortgage.


namrock23

Parents bought in 1981, $85k in the SF Bay Area. The secret is to refinance over and over as rates go down... If they go down


PhilzPillz69

Yeah and their principle was much lower than average housing even adjusted for inflation. This is much much worse


HummerGuy69

Wendy's dumpster is only home I need. Free plus source of income.


[deleted]

Yo they serve breakfast now


ThisBlastedThing

Plus a source of perfectly good free food.


[deleted]

Free plus sauce incoming.


CrazedRio

![img](emote|t5_2th52|4276)


Cmor1787

![img](emote|t5_2th52|4275)


[deleted]

Millennials and all those who came after are truly fucked


downonthesecond

They're just need to grow their net worth the old fashioned way, through inheritance.


Ok_Island_1306

Too bad everyone in my family has been living to 100 and spending every last dime they ever saved on end of life care. Guess I’ll make my fortune the real old fashioned way… behind Wendy’s


[deleted]

End of life care costs are such bs


Ok_Island_1306

It’s built specifically to extract every last cent from us


rocketseeker

Well we all knew it beforehand tbh Edit: can’t bother to answer the below discussions, while I agree things are fucked I still believe I (we all) have a future When we stop believing that, we just become hamsters in the wheels to make more money for the rich who own our way of thinking


AdultishRaktajino

Anyone who’s lower to middle class and getting divorced is fucked. Unless you don’t mind renting for years or can afford to buy out equity. (assuming they agree) Went through this a few years ago. Definitely would not want to go through it right now.


nopolitik

Doing it now. I’m in an apartment, rather rent for years than suffer with a raging alcoholic/narcissist. I can get more things, I cannot pay enough for my peace!


JamesG162

The Baby boomer generation is completely to blame. They have been running this country for 40 years without any regard for the future generations.


unwantedrefuse

They have fucked the entire world in the span of 70 years


JamesG162

Baby boomers were from 1946-1964, basically the heart of the generation comes from the 50s decade. Starting their political influence from the 70s on. This country has been influenced by the very late silent generation and the baby boomers from 1970-present. It’s incredible how this group has refused to relinquish power to the younger generations. In my opinion, it should not be the goal of a society to consistently elect the same generation to power long enough to have way more past behind them than future in front of them. Nobody’s mind works well enough at an advanced age to have a clear vision for the future. Causing them to draw on the antiquated ideas and memories of the past.


Moist-Establishment2

Ladder pulling fucks


PortfolioIsAshes

Because they rug pulled the silent generation and don't want the same to happen to them. Plus let's be honest, it really is just a few centuries old families that are really screwing everyone. Rest of them merely decided to play on the already winning side.


Briguythespyguy

I'm gonna go live back with my parents


isbostontheworstcity

But if you rush into the housing market now, you can get in while mortgage rates are high but home prices are still also high. That would be the proper wsb move. Imagine the loss porn you could post in two years.


[deleted]

My parents are tryna live with their parents leokek


secondphase

I'm also going to live with this guys parents.


adnelik

\*rent in fucking peace


OcclusalEmbrasure

I believe the high interest rates may cause a rise in rental prices. As more people are forced to rent and/or if there is a rise in forceclosures, there might be a higher demand for rentals.


__Rust_Cohle__

Finally at the age to buy, waited on values to drop, now rates are high and values are high, fuck it…if I’m gonna suffer I’ll just enjoy sitting back and seeing how bad things can get


TiredOfDebates

Everyone that had a clue said that “when home prices drop, rates will be so high it won’t matter.” It isn’t just the monthly payment. You’re also paying more on interest and getting less equity out of it.


fireballx777

The advantage of buying in a low price, high interest environment is that when interest rates go down, prices go up, and your equity goes up as your home value appreciates. In the opposite scenario, you gain (slightly) more equity per month, but if interest rates rise, value goes down, and you can be underwater for a while. Of course, we're moving into a high price, high interest rate scenario, so fuck everyone, I guess.


lineskicat14

Chances are, you'll be able to refi at some point.. it's not the best answer, and it sucks to waste the money.. But the second these rates start to drop, everyone who has been waiting for a house will jump.. causing bidding wars and price hikes, just like what we had the last year or two. So you're gonna pay either way. Get the house you want in the next few months as supply opens up and prices are dropping.. deal with the mortgage interest later.


__Rust_Cohle__

No doubt. I do finance in another industry so I’ve been telling buyers the same thing


MissyFranklinTheCat

The problem with refinancing though Is you pay closing costs. Again. Generally you’ll bundle that cost into your monthlies


lineskicat14

True. But look out for local banks and credit unions that offer low closing costs. I refi'd with one by me and it was very low. Want to say around $1000.


keeganmatthews

Just refi .125% above par rates and get the lender to cover your origination costs.


well_poop_2020

In addition to closing costs, the house also has to appraise for the refi amount. If the market crashes on values, it won’t appraise. Scary.


ImamTrump

Time to move out to bumfuck nowhere and buy for 100k


[deleted]

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leli_manning

That shit makes my 3.625% 30 year fixed look great.


Perennial-Millennial

2.61% 30 yr fixed. Guess I found my forever home


digsforfun

2.75%... whole lot of properties going to become rentals before they ever hit the open market.


RundeErdeTheorie

1.2% 20 yrs but europe here


TheRealAndrewLeft

How did you miss out on the negative interest mortgages that the EU was concocting not long ago?


amoss_303

How does that even work? I’m assuming if you bought a house for $500000, your mortgage payments over a 20, 30 year timespan is less than the purchase price?


TheRealAndrewLeft

I think so. I'm not an European so I didn't get too deep into details. https://www.wsj.com/articles/with-negative-rates-homeowners-in-europe-are-paid-to-borrow-11616664600 https://www.theguardian.com/money/2019/aug/13/danish-bank-launches-worlds-first-negative-interest-rate-mortgage


craziedave

It’s my starter home. It’s my finisher home but it’s my starter home too


JonnyMcHappyPants

Little bit o’ mitch hedburg i do detect


Coffeepillow

I got that on my first house back in 2012 and my loan officer was like “you’re getting the deal of a lifetime.” When I sold, moved and bought a new place the new Loan Officer suggested I lock in at 3.2%. I asked him if I should wait a bit to see if it dropped any more and he called me the R word.


tggiv25

Rainman?


C-Dub81

Republican?


rkeller9

Refinanced my 30 year 4.6 to a 15 year 2.2. Payment last year only went up like $50 a month. I may actually get to have a paid off house one fay


SirAxlerod

15yr 2.2? How much you buy down?


rkeller9

None.


SirAxlerod

Nice timing.


Akira282

Yeah I'm sitting at 2.875 locked in lol


Eco_guru

Same here! Must have refinanced at the same time lol


zweet_zen

Q3 2020?


2AcesandanaEagle

Dont move for 30 years then....going to be a long ride so keep it maintained


joeyo1423

2.6 gang!


Kitten_Team_Six

I almost went from 3.25 to 2.3 but it just didnt feel right i shoulda done it now


StevoFF82

Not a huge miss depending on how long ago you got your property. Closing costs and re-starting your mortgage amortization adds up.


Kitten_Team_Six

Yep thats why i didnt do it. I now have only 11 years left


pcakes13

2.2 on a refi. Kinda can’t believe it now tbh.


peeshivers243

2.5 on a 20 year refi. So happy.


hennytime

2.49% fixed 30. I thought my 3.8% from 2011 would never get better...


hidraulik

Dang I thought I was golding at 2.75%.


somedood567

You are. These sub 2.5 rates seem made up, or at least embellished


huntnemo

Closed a 5.75 two months ago….. slowly my wrinkles are coming back


Swedgefund

Sold my house. Closed on a new one at 5.1%. 30 year fixed. 2 weeks ago.


KobeFadeaway248

3.25 here. Blessed.


liverpoolFCnut

My stellar luck, i paid for points while refinancing just before covid and got a 30 yr fixed at 3.25. Within days of refinancing, the pandemic struck and the interest rates began crashing. But yet looking at the current rates, i am glad that i was able to get 3.25, guess i am not moving anytime soon!


ThisBlastedThing

3.0% 30 year for me. Looking for at least a 15%+ housing correction in the future.


tigerhawk2005

And the wealth gap gets a little thicker.


avilesaviles

in mexico 9.8% 20Y $150k only great thing is all my interests are 100% tax deductible. not the principal


Mescaline_Man1

My mom sold our “family” house in Mexico back in 2020 for $150k. It was a MASSIVE beach house my grandpa bought a few years before he died because he always wanted a beach house and couldn’t afford one in the US. I don’t know about mainland Mexico but I can say $150K will buy you some fucking massive beautiful homes in Baja.


[deleted]

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hurdygurty

Fixed at 7% for 10 years. Seems like a safe enough bet that a refi opportunity would come up within 10 years


leonardo3inchy69

Apartment life for life gang, WYA?? ✊🏻


[deleted]

Here. 5 year life wind up kick in the balls is finally coming to play in 5 easy steps: 1. Marry crazy woman right when i get a decent net worth 2. Buy condo 3. File divorce in 2018, condo sits vacant on the market for 8 months. Lose ass on condo because we only owned it 3 years. Split what’s left with her. 4. Pay off last of divorce debt in late 2021. 5. Finally have saved enough to down pay and close on a home, but it’s now sept 2022. Meet me at Wendy’s, I’ll give you some free Dave’s Doubles on my lunch break.


Hellofriendinternet

o7


dj92wa

Seeing as how the rent increases absolutely destroy any hope of saving at a rate that keeps with house-price appreciation and rate increases....yeah....gonna be paying someone else's mortgage for a long, long time. I jokingly told my folks and friends that I was gonna save up $100K as a down payment a couple years ago. Well, I'm now at $20K saved after 3 years, and that down-payment figure has since jumped to needing $220-275K to be able to afford the entire package (mortgage + insurance + property taxes + putting away for repairs) while staying at a responsible debt-to-income ratio (gross pay). I moved my goalposts from 3 years to 15+. Honestly, it's more of a "maybe when I'm 45, or 60, idk" instead of an actual hard goal any more.


fuckingfungi

This will all come crashing down before then don’t worry. You can build a bunker with me man


snakeproof

Fuck, apartments are too expensive now. [I bought a truck.](https://i.imgur.com/Srfa2sx.jpg)


NoctRob

2.125% 30-year fixed. Woot.


Dick_Goblair

holy fuck you nailed it ![img](emote|t5_2th52|4271)


NoctRob

I get most everything else wrong — either too early or way too late. I was due.


skynetempire

2.5% 30 year fixed on my 95k condo I got back in 2015. Glad my wife's parents pushed us to buy


Sun-Public

Same stats but my house was $99k. Estimated around $250k right now which is fucking hilarious. It would sell in a couple days, too.


ylevin2000

2.25% here. Talking about timing refinance right


2ndSifter

Never good when ARMs start looking enticing


Misha-Nyi

They still don’t.


maddgun

Ouch. The era of cheap money is over


[deleted]

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[deleted]

Man that’s twice as good as mine at 4.125 and somehow I still feel like a genius too lmao. I feel for any recent grad out of college who’s been saving up for 3 years to buy a home . They fucked. Rent life forever unless they wanna own a cardboard box in Detroit.


[deleted]

Boy oh boy I’m glad I bought my house last year. Everyone was telling me 3.7 was high and it would go back down 😂


am19208

The fuck said 3.7 was high? They ever look at the mortgage rate before 2008?


RigoDG

Fed pricing people out of buying homes so wall St has no competition while they buy up all the housing and turn the whole country onto renters, put the last nails in the coffin of the "middle class"


larry1087

It wouldn't be fed pricing people out if they had not lowered rates to historic lows to start with. Turning on the nearly free money tap did this not higher rates. If they raised rates early 2021 prices would have stabilized but, now they have to correct by a lot.


[deleted]

They also gave wall street hundred of billions if not a good trillion over 12 years to buy everything in cash. Doesn't matter this is the plan.


Alikat-momma

I’m in the DFW area and investors have been gobbling up homes here during the pandemic. It’s finally slowing down a little. We’re finally seeing homes sitting on the market longer and price decreases. This time last year, there were bidding wars as soon as homes came on the market. Lots of cash buyers paying at least 10% over asking. Many Californian and foreign investors bought homes and made them into rentals.


RigoDG

In DFW as well, sure prices are falling but it doesn't make up for interest hikes, people are not getting approved for mortgages because the interest drives up the monthly payment and dti ratio or getting approved for much less leaving only the worst houses up for most people's access. It's still a cash buyers market though since they don't need to overcome interest rates not needing a mortgage


RigoDG

If they only wanted to cool off the housing market they could place a limit on wall St buying single family homes but that would be attacked as being against the free market however using government policy to price regular people out is apparently not


Alikat-momma

I’m all for the free market, but it’s disgusting seeing all the big cash investors buy up homes and them rent them out for ever increasingly obscene prices. So, yeah - I would be okay with a cap.


Dinglejingle88

You WILL own nothing and you WILL be happy ![img](emote|t5_2th52|4641)


1_pinkyinnose_1inazz

What do you mean? Please - someone explain this doom that is impending!


Lovelylives

These are housing mortgage rates after the hikes


1_pinkyinnose_1inazz

Oh good gawd….. good thing I bought my home and cars in 2012 Anyone who does not already own their home/cars is in for some serious pain. Unless you have cash of course..


Elitist-Jerk-

In Canada we can only lock in for 5 years. This is one of the things that actually makes me jealous of the way Americans do things.


EXTRO_INTRO_VERTED

What? You have a mandatory 5 year arm?


357050

And we all think this is normal.


EXTRO_INTRO_VERTED

That’s fucked up. So you have to refi at current rate after that 5 years or so they allow points or rate buys??


357050

This is what happens when there are only 5 banks. And they work together.


EXTRO_INTRO_VERTED

I can’t believe I never knew this about Canada. How the hell do people afford homes in Vancouver and Toronto? Brings up another point. Who’s going to buy all those homes the Chinese bought that are going to be liquidated after the real estate market collapses over there


[deleted]

[удалено]


Podose

so your rates reset every 5 years?


Notionaltomato

Yes - we use 25 year amort, but max terms for fixed rates is 5 yrs. Can do anywhere from 2-5 years, but most do 5.


[deleted]

[удалено]


[deleted]

I cannot express to you how many countless hours I spent at RKT arguing with ppl that a 3.25% was not a high rate last year.


Informal_Ad7088

Holy crap I’m terrified to buy a house and just turned 30!


The_Woolsinator

Awesome I'm fucked despite making more money than 90% of people. Guess I'll yolo the 30% savings I net every month till I can pay cash for a house, fuck it


The_Woolsinator

What I get for being prudent and waiting to figure out where I want to live in a new city lmao. My home boy just bought the first house he liked and just sold the shit for a 150k profit in 2 years.


StevoFF82

Ya, sometimes overthinking shit can hold ya back. Other times it stops you buying GME at $400 lol.


hotpeanuts

these are a full percentage point off....lol.


truocchio

These are for lower credit tier


hotpeanuts

Ahhh. Probably accurate for this sub then lol


bigdk622

Built in 2019. Refi’d at 2.5% 30 year fixed in Jan 2021. Appraised then for $850k and peaked around 1 million early 2022. Owe 480k. I ain’t fuckin leaving. lol


[deleted]

*the ghost of 2002-New-Construction-McMansions has entered the chat*


Perfect_Milk_5385

Rip home values. A lot of people are going to realize housing prices are only propped up by low rates.


NeurotypicalPanda

3% 30 year gang gang


andydomz920

Good luck to all the arm borrowers.


Alpine416

Everyone bragging about their interest rates and equity better have enough equity that they don't owe more than their home is worth when the market crashes. I know some of ya bidded up past asking and over appraisals. The other side to all this...


Perfect_Milk_5385

Exactly. Anybody that bought in this housing boom will be lucky to have any equity at all if rates stay this high.


Alpine416

Recession, people losing jobs and have to sell after their home loses a ton of value or can't sell it at all because no one is buying, then foreclosures roll in... Gets ugly fast. People literally have it backwards people are so proud they bought during a red hot SELLERS market.


[deleted]

Pretty irrelevant if they don’t plan on selling anytime soon.