As others have said, if you buy at a time of historic low rates, the rates really only have one place to go and that is up. So, you’ve paid too much for the house, it will most likely drop in value and if you had to sell for any reason, you probably couldn’t. And you can’t refinance. People don’t want to think negative, but what if something in her life changes (illness, death in the family, long term disability, job loss resulting a new job with lower pay) and she can’t stay in that house. If the value has dropped, most likely foreclosure. I guess I look at things differently. A year ago I was cycling with friends and was struck by a car. I was hurt pretty bad, but have recovered fairly well and was only out of work for about eight weeks. But, it really made me think, laying in the hospital. My work provided short term disability, but I had no long term. If I had been hurt so bad I couldn’t have worked, it would have been a real financial blow. Now I have long term disability. Real eye opener that in seconds your life can really change.