[quote=patientrenter][quote=ninaprincess]This house, sold for $630,000 and now sold for $400,000.[/quote]
Maybe I am not as good at math as I thought, but 400/630 is 63.5%. So the house is now 36.5% cheaper than before. If you can’t afford to buy the house, you can get financing, and the financing may have dropped in cost as well. However, the house price is down by 36.5%, not over 50%.[/quote]
Here is a clue:
1. Compute the total cost over 30 years for buying the 630K house in 2006. Call that A.
2. Compute the total cost over 30 years for buying that same house for 400K in 2011. Call that B.
