Posted on 04/21/2024 1:25:36 AM PDT by Sam77
Home sales saw their biggest month-on-month decline since November 2022 in March, dropping by 4.3 percent compared to February. Meanwhile, the average 30-year fixed mortgage surged to 7.1 percent — its highest since the end of last year.
Average monthly new mortgage payments are 38 percent higher than average apartment rent, with this double-digit disparity persisting for a two-year period. This is discouraging Americans from buying their own homes, with sales down 3.7 percent year-on-year.
(Excerpt) Read more at thenationalpulse.com ...
You might want to add to it....insurance rates (especially in FL and Cal) are soaring.
Are renters about to see an increase of substantial proportions to exclude many to the streets ?
In Muslim finance there is no interest, which is forbidden.
Property can be bought gradually. Say 20% at first and then 4% a year for the next 20 years. The 80% not bought could be rented at say 80% of the 100% rental rate. The price of the 4% chunks might be based on average square foot purchase prices of nearby comparable properties.
This would make any time a good time to buy.
Systems might be set up for co-insurance.
A $500,000 improvement might be $100,000 insured by an insurance company with co-insuring individuals covering the remaining $400,000. The insurance company would get 20% of the risk premium plus non-refundable policy issue & claim management fees.
If the risk premium is $10,000 annually the insurance company would get $2,000 and the co-insuring individuals $8,000.
The co-insuring individuals would fund their risk share by bank transfer and the insurance company would buy either government bonds or blue chip stocks. A $10,000 risk might require $11,000 for government bonds or $14,000 for blue chip stocks. The income (or losses) from the investments would go to the co-insuring individuals.
The covered homeowner could be a co-insuring individual.
Young voters need to realize that government handouts to Ukraine and former college students come with price tags.
Yup
Bidenomics: More skid rows your about to enter an adjustment
period.
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