Homeowners BTFO! Mortgage Rates mooning

Homeowners are about to have their property values decimated. Mortgage rates just hit a multi year high and will only continue to climb from there. That $500k dilapidated shack they call home will soon be back down to the low 200’s. Gen Z will finally be in a position to buy from retardo millennials and greedy boomers.

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Mortgage rates only affect people who are buying new homes.
This is great for homeowners and fucks renters.

Only if they pay for a new assessment.

No. That will never happen. We've seen this before. They won't allow that to happen - it should, by all rights, but it never will. The market is not free, they always manipulate it. No one can stand for a diminished return on their property investments - the value must double every five years or else the entire economy collapses.

No, it is not good for homeowners. With less demand for mortgages due to higher rates the less buyers there will be. Less buyers = less demand = lower prices.

>Mortgage applications still rising, but slower.
You mean mortgage owners not homeowners. You don't own shit if you have a mortgage, has no one here ever played monopoly?

Inventory is projected to decrease.

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>interest rates climbing like crazy
>my fiat is being devalued like crazy
>Black Rock buying all the assets
>can't get my money secured in a nice home with land to raise my family in

I'm fugged bros

>Gen Z will finally be in a position to buy from retardo millennials and greedy boomers.
This is unfortunately why the market won't correct completely. Boomers will lose their shirt and that's fantastic, unfortunately there are a fucking ton of everyone from gen x to zoomers waiting to buy. And we'll get our houses with a huge 1980s style interest rate. We lose again.

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Homeowners =/= homesellers.

Someone happy where they're at might get a tax break. Doubtful, though.

As long as you have a mortgage, you are paying down debt in today’s dollars on a hard asset titled in your name. Would you rather be paying $1200/month on a home purchased in 2010 for $200k refinanced to a 2.something percent rate or buying the same home today for $600k at a 4-something percent rate? That mortgage lets you essentially stop time and keep you from getting bit on inflation.

>rates go up
>Prices don't drop
Gate status: kept

There is a lag between interest rate actions and them being priced into the market.

>less buyers
You know how I know you are retarded? Demand for housing never goes down. Everyone needs a place to live. This simply means the average person is renting instead of buying which means there are more landlord kikes buying.

>"Interest rates surge"
>Fed hasn't actually upped the interest rate yet
Kikes kiking. Nothing more to see here.

Refinanced when president Trump was in office.

Inventory here has been exploding for a few weeks. Probably 3x as many houses for sale as a couple months ago. Some getting down into reasonable territory like $250k but the projections still show a 20% increase.

Good morning sir. If you have a mortgage, you are not a homeowner. Thank you

As a lord of the lands oh no whatever shall i do........

What makes you think this can be controlled? We tried that in 2008. The entire idea of a government backed subprime loan and the securities built upon it was on the idea that the government would never ever allow the bank to take a loss on the loan, and that the government would always pay the loan's face value. The government did - but the face value was 1/10th the market value. Market then popped.

The more manipulation that occurs the more likely this sort of situation will occur and bring it all down. It's becoming increasingly likely especially as most tech stocks aren't making profits as there's a big labor and supply chain shortage forcing prices up. Even Uber can't make money, because nobody wants to work and those that do don't want to pay Uber rates to commute. Ditto for grubhub, nobody wants to work at mcdonalds making grubhub orders, customers do not want to be forced to use grubhub to get orders, and there are no drivers that want to accept grubhub's rates.

This is how one economy ends and another begins: a majority of society refuses to participate. No matter how much nudging or encouragement is done by large companies or the government, if people do not want to accept the prices then nothing moves. The financial system based on it then grinds to a halt and collapses.

Are you retarded? Why would it matter to someone who bought a house, is doing their regular monthly payments and can afford their payment that their house value just went down? It's just an imaginary number absolutely irrelevant to anyone not looking to sell their home or do a cash out refinance. Anyone who sells their home because its price went down shouldn't have bought a property to begin with.

>What makes you think this can be controlled? We tried that in 2008
Good thing the fed can now buy and hold property forever while printing the money it uses to do so out of nothing. If you do not buy a property during hyperinflation, you will never own a god damn thing in your entire miserable life.

God I hope this is true. Not zoomer but I'm a late millennial who fell for the military meme and am finally graduating from medical school at 30 I really want to buy a house.

It's largely due to a combination of factors ranging from increasing prepayment, less people buying mortgage backed bonds at the moment due to their shitty coupon rates, and the knowledge that the FED has declared they'll increase the federal funds rate several times this year.

>total retard doesn't understand how this works
With higher interest rates, the monthly payment increases thus making it HARDER for first time home buyers. Unless you have cash to buy a house with, you are in a worse position and probably will never be able to buy one.

I spent all my money last year on a 5 acre property. Mortgage with fixed 0.96% interest rate while inflation is 8% and climbing. How am i fucked?

Thank God
I'm in a liquid position to buy the punters up kek

>and the knowledge that the FED has declared they'll increase the federal funds rate several times this year.
You'd think that would spur buying at fixed rates

>if you have a mortgage you do not own your home
>if you have to pay property taxes you do not own your home
it never ends, possession is 9/10ths of the law

Yes but no