Comment on Housing market affordability is so bad that Zillow says it will take you 13.5 years to break even on a purchase from July onward
Could be fixed rate that expired and had to be renewed, but with a new rate.
In the US a fixed rate does not expire. At the end the loan has been repaid. I do not know of they are in the US.
How does that work? You take a loan, negotiate a rate (say 3%) upfront, and you have this rate as long as the loan is not payed?
Yes, though I’m not sure what you mean by not paid. You have monthly payments for the loan.
I meant payed off.
So if I borrow $100.000 at 3% interest rate, I will 3% for the entire duration of the loan? Even if FED increased the rates to something else?
Alexstarfire@lemmy.world 11 months ago
In the US a fixed rate does not expire. At the end the loan has been repaid. I do not know of they are in the US.
uranibaba@lemmy.world 11 months ago
How does that work? You take a loan, negotiate a rate (say 3%) upfront, and you have this rate as long as the loan is not payed?
Alexstarfire@lemmy.world 11 months ago
Yes, though I’m not sure what you mean by not paid. You have monthly payments for the loan.
uranibaba@lemmy.world 11 months ago
I meant payed off.
So if I borrow $100.000 at 3% interest rate, I will 3% for the entire duration of the loan? Even if FED increased the rates to something else?