Monthly costs for homebuyers rise nearly 20%

[rangerrebew]

ECONOMY Published August 6, 2023 10:00am EDT
Monthly costs for homebuyers rise nearly 20%
Average rate on 30-year fixed mortgage rose to 6.9% this week
 
By Daniella Genovese FOXBusiness

Real estate market is going ‘sideways’: Mitch Roschelle
Macro Trends Advisors founding partner Mitch Roschelle joined ‘Varney & Co.’ to discuss June’s new home sales data and its expected impact on the U.S. economy.

The monthly cost for a potential homebuyer has surged nearly 20% compared with a year ago as prices remain elevated, according to new data.   


During the four-week period ending July 30, the monthly mortgage payment for the typical U.S. homebuyer sat at $2,605, 19% higher than the same period a year earlier, according to Redfin. It's also down $32 from the all-time high in early July, according to the data.

The average rate on the 30-year fixed mortgage rose to 6.9% this week, up from a week ago when it averaged 6.81%, according to mortgage buyer Freddie Mac. A year ago at this time, the benchmark home loan averaged 4.99% and currently remains almost double what it was two years ago.

https://www.foxbusiness.com/lifestyle/homebuyers-monthly-costs-rise-20

[Weird Tolkienish Figure]

$2600. And with all the costs, i don't know how people do it. I'm dying personally.

[cato potatoe]

Housing is still grossly inflated.  At some point, the people sitting on their 4% mortgages will move or die.  It could take a while.

[Weird Tolkienish Figure]

Housing is still grossly inflated.  At some point, the people sitting on their 4% mortgages will move or die.  It could take a while.

We have 3.5% locked in. We're going nowhere.

[DCPatriot]

Absolutely no reason why 30 year loans cannot be assumable by another qualified purchaser.

The loan fees paid on that origination date have been calculated to pay said lender an exact interest rate over the life of the loan.

People supposedly move every 5.5 years, so the mortgage company's return on an early payoff date is astronomical.

[Gefn]

Rents on apartments has also gotten ridiculous. 3K for a 2 bedroom:?

[libertybele]

Rents on apartments has also gotten ridiculous. 3K for a 2 bedroom:?

Prices on everything has gotten ridiculous.

[berdie]

Prices on everything has gotten ridiculous.

That's the truth! I truly don't know how young people can afford to live.

[Weird Tolkienish Figure]

That's the truth! I truly don't know how young people can afford to live.

My wife is a semi-sahm, so I'm supporting her and my son on my own income, until he goes to school. She works parttime, we're living paycheck to paycheck.

[GtHawk]

Rents on apartments has also gotten ridiculous. 3K for a 2 bedroom:?

I know things are higher where you are, right now I'm at $2100 for a 2bdrm 1 bath older complex with an inconsiderate ass stomping overhead, but I'm very close to the ocean in Huntington Beach, CA. I know they are itching to raise my rent because they are charging close to 3K for newly updated(and that don't men much) lower units. What are gonna do? We'll never be able to afford a house again on SS so best plan is to buy a Mobile Home and at least not have any overhead and some space between us and neighbors. In 1960 my parents bought a home for 3K, in 1968 they bought a home in a good area for 28K, in 2022 my daughter and SIL bought a home in a good area, desirable zipcode for $1.1 million just a 3 bdrm 2 bath with a pool on a small lot. This is of course in SoCal so prices are higher than other states but it's freaking insane!! Not to mention the property taxes which at least for now with Prop 13 can only increase 2% a year

[Fishrrman]

When I bought my house in 1988, I got an interest rate of around 9.25%, if I recall right. Considering how high rates were getting, I thought I did ok.

I refinanced in 1993 at 6.8% and thought I was still doing ok.

But I finally got tired of paying it every month. So I got a check from the bank (47k), sent it in, and just paid it off.

One of the smarter things I ever did.