A conundrum
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Was it in a desirable location? Our tourist town went out of control with our of state buyers during the pandemic, but property values have adjusted back some and the market competition is gone. If you still have some of that $40k now might be a better time. My wife and I just did the federal First Time Homebuyers class and wound up getting a USDA rural development loan, they wouldn't even let us put a down payment to lower our payments.
I am a skidmark that cannot believe that I live in a house that I "own"(have a mortgage). And I am so much less pessimistic about anybody's potential to do what I did. I am happy to answer some questions. I make $22 an hour and my wife makes $17, the loan officer told me I almost make too much for the program.
Yes, at the time, I was hoping to buy in the Salt Lake Valley and it just wasn't feasible. Thank you for the tip, I will read up on the USDA loans.
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Foreclosing is a very expensive process.
If you borrow 100% of the purchase price and the bank has to foreclose they would incur a loss.
Oh no, their own process that they made for being given a house is so expensive, I feel so bad for them!
Why are you defending them so hard? You just have to look at their quarterly financials. They're making out like gangbusters.
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except for causing that famine.
Eh, what's a little famine among friends.
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I tried and here are some places I have looked where the average home is $810,000 come to find out.
Pinedale, Wyoming, USA
Ennis, Montana, USAThese are in the mountains about 1 hour from the nearest big city of Jackson, Wyoming and Bozeman, Montana. I guess I need to look in the deep sticks.
Are you really confused why those properties are expensive? Those are both desirable locations in regions with quickly growing populations. How about Livingston, or Butte?
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if residential properties are cheaper per square foot than storage units, then absolutely
Yep, that was a litmus test to determine if you're worth my effort. You failed.
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Hmm. What if we abolish private property?
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I meant that intentionally defaulting on a mortgage when the property loses value and not paying the debt is not a thing. That's what we were talking about.
Who is more likely to default, a borrower with $100k equity, or a borrower with negative $100k equity?
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Who is more likely to default, a borrower with $100k equity, or a borrower with negative $100k equity?
Read my other comments. I answered this already.
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Read my other comments. I answered this already.
Read my other comments, explaining why people with negative equity often default on their mortgage.
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Read my other comments, explaining why people with negative equity often default on their mortgage.
Not in Europe.
(this is fun. let's keep doing this forever!)
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I've never paid a mortgage, but £500 seems pretty low. Do mortgage payments tend to be that much cheaper than rent prices?
£100,000 over 30 years at 4.5% would be £506 a month. That plus the stipulated £25,000 deposit will get you a bungalow or terraced house near me as of about 18 months ago. Rent in my area starts at around £700 for a house outside of town or a single room in town.
So yes, £500 mortgage is possible. Rent being twice the cost of a mortgage for a similar property is fairly common. Banks and landlords being shitheads is guaranteed.
