• MeekerThanBeaker@lemmy.world
    link
    fedilink
    arrow-up
    11
    ·
    8 months ago

    I don’t know where OP lives or how much their house costs, but a $400,000 home at 3% is around $1,685/month. Same price at 7% is about $2,660/month.

    If it were in a more expensive neighborhood, a $1 million dollar home at 3% is about $4,200/month. At 7%, that makes it $6,650/month. Many average houses in California can cost $1.5 million… so needing an extra $50k/year sounds reasonable to be able to move into a similar house.

    You have to get a new loan when buying a different house unless you have the money to pay cash. That means you accept the current rate. I wouldn’t want to spend an extra grand or two per month on a similar house.