Investors bought a quarter of US homes sold last year

Re:Investors bought a quarter of US homes sold last year by cammikebrown on Tuesday August 23, 2022 @04:05PM (#32570718)

Being able to afford 20% down on a mortgage is something affordable to less people every year. With rates increasingly quickly, it's not going to be much cheaper if prices fall too.

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Re:Investors bought a quarter of US homes sold last year by onlyrealcuzzo on Tuesday August 23, 2022 @05:39PM (#32571927)

So buy at 3.5% down.

The more leverage you have - the more you're taking advantage of The Federal Reserve mandate that prices go up at least 2% per year.

2%x33 = 66% return GUARANTEED by yours truly, the Federal Reserve.

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Re:Investors bought a quarter of US homes sold last year by bamboozled on Tuesday August 23, 2022 @08:59PM (#32573739)

Maybe, in the back of peoples minds, we all know "The Fed" isn't magic and crisis do happen. So if this "guaranteed 2%" falls apart, it's going to freaking suck for a lot of people.

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Re:Investors bought a quarter of US homes sold last year by dayjaby on Wednesday August 24, 2022 @12:31AM (#32575012)

Isn't it an exponential formula instead of a mere multiplication? 1.02^33 ?

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Re:Investors bought a quarter of US homes sold last year by onlyrealcuzzo on Wednesday August 24, 2022 @05:43AM (#32577081)

If you put 3% down on 100k = $3000.

If prices appreciate 2% = $2000.

$2000 / $3000 = 66%

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