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I just bought an apartment with 15% down. It's in the EU; 15% down is about the standard here with no special exceptions. With government assistance programmes
by fraa-orolo 4y ago
I just bought an apartment with 15% down. It's in the EU; 15% down is about the standard here with no special exceptions.
With government assistance programmes it can be even 5% down but you'd have to qualify for some protected category.
- toomuchtodo 4y agoHow long is the rate fixed for?
- fraa-orolo 4y agoThe rate is based on Euribor [1], fixed for 6 months in my case (and commonly most everyone) but anything between 3 to 24 months was possible. [1] https://en.wikipedia.org/wiki/Euribor https://en.wikipedia.org/wiki/Euribor
- lupire 4y agoWow. What's going to happen your payment when rates go back above 0 to stop rampant inflation?
- nemo44x 4y agoI wish you well but the way things look, you’re completely fucked. Your interest rates have been so unsustainably low for so long. And now things are going up fast and will likely continue to due to rapid inflation. Good luck!
- gtirloni 4y agoForever? Here in Brazil we negotiate a yearly rate for the whole extension of the contract. Isn't this standard?
- toomuchtodo 4y agoIn the US, 15, 20, and 30 year fixed are boring standard mortgages, with various adjustable rate mortgages available from 1-10 years (and even some interest only products, where you’re essentially just renting the property from the bank and not building any equity).
- aaronblohowiak 4y agoAgreed except for your mischaracterization at the end. An I/O mortgage is a leveraged asset speculation you live in, without the “forced low interest savings” of traditional mortgages.
- deleted 4y ago[deleted]
- toomuchtodo 4y agoHistorically, real estate has always appreciated at a health rate except during a handful of tail events. It’s less speculation and more allocating capital elsewhere versus dead capital in your home (and if the interest rate spread between the note and your other investment growth opportunities is significantly robust to make the effort worth while).