sanitation@lemmy.today to me_irl@lemmy.world · 11 days agoMe_irllemmy.todayimagemessage-square133linkfedilinkarrow-up1579arrow-down135
arrow-up1544arrow-down1imageMe_irllemmy.todaysanitation@lemmy.today to me_irl@lemmy.world · 11 days agomessage-square133linkfedilink
minus-squaredparticiple@sh.itjust.workslinkfedilinkarrow-up21arrow-down1·11 days agoMy math says that the monthly principal+interest on that house is more like $4,300 a month, assuming: Purchase price: $850,000 Down payment (20%): $170,000 Loan amount: $680,000 Interest rate: 6.5% fixed Term: 30 years (360 months) Not insignificant, but not wildly off like the infographic.
minus-squarethallamabond@lemmy.worldlinkfedilinkarrow-up11·11 days agoYou gotta roll home owners insurance in there, and taxes.
minus-squaredparticiple@sh.itjust.workslinkfedilinkarrow-up13arrow-down1·11 days agoThat’s realistic, but the infographic doesn’t include tax and insurance. Working backwards, it has: Home price: $600,000 Down payment (20%): $120,000 Loan amount: $480,000 Interest rate: 3.0% fixed Term: 30 years (360 months) The monthly principal-and-interest payment is exactly as the post said, $2024 / month. Has insurance gone up? Absolutely? Have property taxes generally rise? They have. But this is an honest like-for-like comparison.
minus-squareBlum0108@lemmy.worldlinkfedilinkarrow-up8·11 days agoWho has 120k lying around for a down payment?
minus-squareduckwingthegoose@lemmy.worldlinkfedilinkarrow-up2·10 days agoSomeone selling a home they already own. I know thats not helpful to most, but thats the only realistic way to have 120k sitting around
minus-squareEndlessNightmare@reddthat.comlinkfedilinkarrow-up1·edit-210 days agoThat’s “only” (checks average income in the U.S.) 2 years of average income in the U.S. Oh, and that’s $120K after tax
minus-squareZombiFrancis@sh.itjust.workslinkfedilinkarrow-up6·11 days ago$2024 > $4300 is more than double, while also assuming saving an extra $50,000 in downpayment while that cost increased. Although the down payment has less impact. But nonetheless, that lower payment boosts the loan to about $4600. Wages aren’t doubling.
minus-squaredparticiple@sh.itjust.workslinkfedilinkarrow-up3·10 days agoOh, I agree with you, and concur with the spirit of the infographic. I just like accurate calculations!
minus-squareBCsven@lemmy.calinkfedilinkarrow-up6·11 days agoWe don’t do 30 years here anymore. Its 25, and most people can’t do the 20% down, its 5% for first time homebuyer
minus-squareEndlessNightmare@reddthat.comlinkfedilinkarrow-up2·edit-210 days agoFun fact: the increase in monthly payment going from a 30-year down to a 20-year mortgage is less than 20-year to 15-year. This is also why the talk about longer mortgages should be a non-starter.
My math says that the monthly principal+interest on that house is more like $4,300 a month, assuming:
Not insignificant, but not wildly off like the infographic.
You gotta roll home owners insurance in there, and taxes.
That’s realistic, but the infographic doesn’t include tax and insurance. Working backwards, it has:
The monthly principal-and-interest payment is exactly as the post said, $2024 / month.
Has insurance gone up? Absolutely? Have property taxes generally rise? They have. But this is an honest like-for-like comparison.
Who has 120k lying around for a down payment?
Someone selling a home they already own. I know thats not helpful to most, but thats the only realistic way to have 120k sitting around
That’s “only” (checks average income in the U.S.) 2 years of average income in the U.S.
Oh, and that’s $120K after tax
$2024 > $4300 is more than double, while also assuming saving an extra $50,000 in downpayment while that cost increased.
Although the down payment has less impact. But nonetheless, that lower payment boosts the loan to about $4600.
Wages aren’t doubling.
Oh, I agree with you, and concur with the spirit of the infographic. I just like accurate calculations!
We don’t do 30 years here anymore. Its 25, and most people can’t do the 20% down, its 5% for first time homebuyer
Fun fact: the increase in monthly payment going from a 30-year down to a 20-year mortgage is less than 20-year to 15-year.
This is also why the talk about longer mortgages should be a non-starter.