When I purchased my first house at the age of 22, we didn't bat an eye at the 10.5% interest rate for my first mortgage. We were also required to put down 20% and it was only a 10-year mortgage (not our choice). That house also only cost $18,300, and our monthly payment was around $210.00 total (including taxes).
I didn't think I'd ever see rates this low. And I'm talking about 6%, 5%, 4%, and 3%. So I never expected less than 3%, but that's what happened in July of 2020.
Did you know that in 1971 the average mortgage rate was 7.31%? I was a few years out from owning my own home, and interest rates were higher when I bought, but in my 37+ years in the real estate business, 7% was a good rate. In fact, at one point in time, around 2012,…
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