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Monday: Silly Questions (lemmy.ca)

submitted 1 year ago by [email protected] to c/[email protected]

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It’s Monday, the start of a new week.

Ask your embarrassing, silly, or worrisome questions. Come learn and discover without judgment.

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[–] [email protected] 3 points 1 year ago* (last edited 1 year ago) (1 children)

Math aside (I didn't check) this is exactly how it works, and why 2008 subprime fiasco resulted in people suddenly not being able to afford their houses: you start with a rate you can afford and after a period (I think this was different to your case in 2008) the rate changes and now it's no longer affordable.

[–] [email protected] 1 points 1 year ago

This makes sense, yeah. I did the whole stress test thing that was in play when I bought this place, and while I should be able to afford it, it will make for some even more frugal living.

I’m very worried about another crash like 2008, or even a smaller one and ending up with a house that’s worth 200-300k less and paying more for it.