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That's what I'm doing now, but always wondered if equity was "non-invested" money not working for you. Granted, the stakes are high if the investments don't produce. I followed the thread in Homesteading about paying off a mortgage early and can swing back and forth from a conservative to less conservative approach.
Home equity is money invested in an asset that earns a return approximating home price inflation (appreciation) for the location in question.
 

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Also I meant to add - equity is not “non-invested” for the reason given above.
 

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Wife and I closed a couple weeks ago on our refi, almost exactly one year from purchasing the house. Went from 4.25% on a 30 year to 2.375% on a 15.
 

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Let me know who gave you this rate. I haven't found anything less than 2.5%
This was from our local credit union, Arbor. Rates went up right after this, we actually started the process April 1st and it took forever to close because of COVID. They were getting bombed with refi's and were supposedly a little more cautious with loans due to the uncertainty of everyone's financial future.
 
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It's weird. As I read down through this thread, three ads in the sidebar and bottom of the page for Lendingtree mortgage rates. Spookey...lol
 

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Pretty sure savings rates in 1980-84 were about 12%. My vague memory of loans was more like 15-20% during that same period.
Correct. Mortgage rates were 16.5% and prime lending 21.5%.
CD rates 10% plus. I said back then that if someone gave me a million dollars, I would not touch it and could live off of the interest of $100k year.
 

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So, what's everyone's thoughts on how long these rates will stay this low? I'm thinking it'll be a full month before our bathroom is straighten around, I don't wanna miss these rates. Currently at 4.625%

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Sent you a pm with my thoughts on your situation. You have options to lock in now.
 

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I am usually a good predictor of pessimism.

I predict mortgage rates are going to about 1.5% within 2 years. We will see 1% within the next 10 years. The only thing holding up mortgage rates in my opinion is the stock market. Once that flattens our or goes back down to where it should be......people won't have anything to do with their cash. They will buy bonds up, pushing rates down.
 

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There does come a point where it cost more to service the loan.
Fed rate is now .25 can't get much lower unless we go into a negative rate situation where it cost a bank to have there money at the Fed. If that happens, our country (and the world) is in a whole lotta hurt.
 

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I'm closing a refi tomorrow morning. 10 yr fixed @ 2.375%. We will never refi that loan. Probably.
If mortgage rates go to 1%, the economy will be completely trashed. Right now ARM rates are higher than fixed rates.
 

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Housing data (Case-Shiller and others) was released today. I see in the data continued tightness of supply, high demand and low vacancy. This to me points to firm demand for home construction, and the goods and services that go along with building, decorating, outfitting and financing new homes.
 

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Housing data (Case-Shiller and others) was released today. I see in the data continued tightness of supply, high demand and low vacancy. This to me points to firm demand for home construction, and the goods and services that go along with building, decorating, outfitting and financing new homes.
Thats true....but you have to remember there were 6-8 weeks where housing was down >80%. So I interpret that as a lot of this 10% growth as just pent up demand.
 

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Thats true....but you have to remember there were 6-8 weeks where housing was down >80%. So I interpret that as a lot of this 10% growth as just pent up demand.
@CrawlerHarness yes agree on pent up demand. Also look at 1-5-10 year data on the Fed site that shows total number of households and total number of housing units. Housing is tight now, in the near term, and has been tightening since the 2007 bubble popped.
 

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Why does anyone ever use quicken loans? The fees are high and their rates are high?
Some how they are the number one lender?

I don’t get it?
 
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