Danes Get 20-Year 0% Mortgages

Re:Danes Get 20-Year 0% Mortgages by omgwtfbyobbq on Tuesday January 05, 2021 @04:42PM (#25651531)

We did a little bit in the 90s when interest rates increased, and I think the rate increase in the late 2000s was responsible for at least some of the drop in home values, although how much was obscured by the housing bubble, and low interest really acted like a multiplier there.

https://fred.stlouisfed.org/series/CASTHPI

https://fred.stlouisfed.org/series/FEDFUNDS

But you're right in the sense that we haven't seen the drop in home values (or any high capital asset) associated with the increase in interest rates of the 60s through 80s.

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Re:Danes Get 20-Year 0% Mortgages by jackcosgrove on Tuesday January 05, 2021 @05:56PM (#25652386)

That's because interest rates having generally trended down from the mid-teens to zero in the past forty years.

Unless we're willing to go negative, that cycle is coming to an end.

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Re:Danes Get 20-Year 0% Mortgages by omgwtfbyobbq on Tuesday January 05, 2021 @07:00PM (#25653063)

We kinda have gone negative with QE, but yeah, interest rates are likely to come up sooner or later.

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