14 Facts About Mortgages

The interest rates have not been “fine” since forever

If you think your actual interest rate is a rip off and it’s way too high you certainly have to think again. America, recently enough, has had some historically low interest rates. And this is fantastic, but it has not been this fine and dandy since forever. In October, the year 1981 the average interest rate for a 30 years fixed rate mortgage was reaching a mind boggling 18.45%. Take a sip of your preferred beverage and thank god that your current interest rate is manageable.

 

The interest rates right now are around their lowest

Sure, the lowest average rate for a 30 year fixed rate mortgage was 3.31% recorded on November the 21st, 2012, but still, the interest rates are currently still low. They are sitting at a slightly higher than 4% which still is fantastic, but for the people who got that low of an interest rate, please give yourself a pat on the back.

 

If you think your slightly expensive coffee is a severe spoil please reconsider

One wife out of sheer disappointment in her husband started to vent on Reddit on February 2016 about her husband. Their monthly mortgage payment was at 2.500$ but sadly for them, the man had other ideas about what to do with the sum of money. What more precisely? He bought 4 pairs of Yeezy sneakers worth 625$ a pair. It shows how many people are not responsible enough but, it also shows you that it is ok to spend that extra money on a little spoil like some coffee.

Billionaires have mortgages too, if that is not too surprising

In 2012, the all known Facebook founder refinanced his Palo Alto home with a 30 years adjustable rate mortgage with a rate of just 1.05%. From the starting rate of 1.75%, that refinancing saved him almost 2.000$ a month.

Paying on time is hard, even for the celebrities

Our pal here Allen Iverson, a former NBA superstar delighted himself and bought a 6.848 square foot mansion with six bedrooms and nine bathrooms for a “measly” 3.875.000$ in 2008. What happened next? In three years later the property slipped into foreclosure because he failed to pay his mortgage. Rapper Lil’ Kim is almost on the same track and another rapper, the one and only, 50 Cent sold his mansion recently because he filled bankruptcy not long ago.

Not all heroes wear capes

There is a cute little story and rumor about a bank robber named Charles Arthur Floyd nicknamed “Pretty boy” which doesn’t look like a hero now, doing stuff expected from a bank robber. But in addition to his policy of borrowing money without returning them he also was destroying mortgage documents, freeing a lot of citizens from their debts. He went down swinging in 1933 in a typical action movie way with all the police and gunshots needed.

Celebrating the end of a mortgage is something that apparently people do

In Scotland, people will paint their front door red to show the world that they are debt-free. In the U.S, some people burn their last bill how Archie Bunker burnt hid last mortgage note in a fire during an episode of “All in the Family”. Party however you see fit, buy those 4 Yeezy pairs if you so desire.

Surprisingly, the Facebook’s founder interest rate was not the lowest

In the United Kingdom, or more precisely in Britain, the Yorkshire Building Society is the second biggest mutual lander. They have given a mortgage rate of just 0.98% which is the lowest ever offered. Sure, not by a large margin compared to the 1.05% of our Facebook founder but that is not important. This deal is the cheapest nationally available rate to anyone wanting to remortgage, being discounted by 3.76%.

 

The total mortgage debt might be a bit higher than anyone anticipated

 

According to some resource, the total mortgage debt of every one to four resident home, so the larger mansions are excluded, is reaching almost 10 trillion $. That is not much right? No. That is enormous.