Originally Posted by
Gunfighter
P&I on 600K is $2,293 for a 30 year loan at 2.25%. Just a few years ago at the historically low rate of 4%, the payment was $2291.59 on a 480K loan. At 5.5% (2009-2009 rates) that payment would equate to a 400K mortgage. People buy houses on monthly payment more than purchase price. Buyers are skipping the middle home and going from the starter home straight to the forever home.
Inflation will wipe out much of the debt, might as well go big.
Folks are refinancing from "historic low" interest rates a few years ago, to this new historic low. Friend of mine at a major Bank says their underwriting department is backlogged at least 2 months i.e. your closing date is 2 or 3 months from when your loan application is completed. Cray-cray.
A5S