4 ms·

This is absolutely all correct, and also supports the basic argument that houses are not wildly more unaffordable now than they were in (say) 1990.

• adam_arthur 5y ago
  Affordability is almost as bad as the 2000s peak already. If you judge by housing payment relative to income
  • runako 5y ago
    Would you mind sharing a link to your source? I would love to update my mental cache? Thanks!
    • adam_arthur 5y ago
      I'll try to find the chart I saw on this recently. But here's home price relative to median income, which is at a record. Then apply logic that mortgage rates are 4.1% now and likely to be 5% soon. https://www.longtermtrends.net/home-price-median-annual-income-ratio/ https://www.longtermtrends.net/home-price-median-annual-inco... 2000s affordability was still worse at the peak, but will shift quickly if mortgage rates continue to rise. Anyway, will edit when I find
      • runako 5y ago
        Interesting, I have not seen Bankrate & Nerdwallet differ by this much before. (Bankrate is reporting rates in the range around 3.5%.)
        • adam_arthur 5y ago
          https://www.mortgagenewsdaily.com/mortgage-rates https://www.mortgagenewsdaily.com/mortgage-rates ^ is the source most in the industry use for the current rate. It tends to be the most up to date
          • runako 5y ago
            Jumbos at a half point below conforming. Is that normal? They are reporting 30-year fixed jumbo below a 5/1 ARM. Is this just a dislocation?
            • adam_arthur 5y ago
              Jumbos are usually below non jumbo conventional. https://www.builderonline.com/money/mortgage-finance/heres-why-jumbo-loans-have-lower-interest-rates_c https://www.builderonline.com/money/mortgage-finance/heres-w...
              • runako 5y ago
                Thank you!