The mom of a client said they just refinanced and their new payment is 37% higher.
She was more excited about that than I was.
As I have mentioned, my sister bought her house in late 2006 for $220,000 and it sold for $115,000 2 years later, but for $380,000 in 2021.
She foreclosed on it, not because she needed to, but because she already had a nicer house in a much better location.
She was upside-down, which was why she foreclosed.
Unfortunately, after building equity for 7 years she sold for her doomed adventure in Oregon, which cost her $100,000.
My sister didn't have 20% down, but she got out of mortgage insurance before prices crashed.
To whom do I listen on YouTube?
Joe Scott?
Verisatium?
Linus?
Ah! Homemade Home!
No, he explains how to spend a month finding a distressed property, 6-12 months fixing it up [full-time], and then renting it out.
I don't know what I am missing from my own YouTube history, you tell me!
What your work filter does and does not block is meaningless.
How about "Billionaire Andrew Carnegie famously said that 90% of millionaires got their wealth by investing in real estate."
CNBC
How upside-down can I get on a house that costs $636 a month for mortgage, taxes, and insurance?
Mom bought her house for a little over $100,000 in 2003 and all that Zillow's value estimate shows is that it bottomed out somewhere under $90,000.
The FRED doesn't show the White Mountains, but the average home sale when Mom bought her house was $160,860, $292,570 the fourth quarter of 2006, and $143,110 the second quarter of 2011.
https://fred.stlouisfed.org/series/ATNHPIUS38060Q
If home values up here followed the same trend, hers would have gone up to $192,791 and then down to $94,303.
I believe that the real estate market is hugely overvalued, but the government propped it up during a global pandemic.
People have been talking about a crash for 10 years and I don't see one happening any time soon.
By the way, home values are currently 48% higher than they were at the peak 15 years ago--an average of 2.67% a year.
Yes, you could have made a ton if you timed the market right, but if you bought a house for $292,570 and it is now worth $434,090, you would owe $212,000, and have $222,000 in equity.
I may live with my mom, but I pay about as much rent as I did before I moved here.