[quote=Rich Toscano]I think an interest rate based formula would be very interesting, but it would be important that it only get used by long-term buyers. As I opined in that recent article, if you are not a long term buyer you aren’t getting that big a benefit from the low rate, so it’s better to be concerned about prices and ignore rates.
However, for a long term buyer, it’s possible that prices could still be a bit high but rates could be low enough to compensate for that. That’s where your interest rate based formula could come in handy.
So it would be good to have two formulae: one for price-concerned buyers and one for payment-concerned buyers. I’d say the 2000 price plus 50% is probably about right for price. For payments we’d just have to factor in the different in rates between now and then. It’s Friday night and I’m too lazy right now but maybe I will mess around with it at some point.[/quote]
agree two formulae would be the best way to go.
I wonder if some of the piggs that recently purchased would be willing to try out the two formulae in private and let us know how they work out in their real life example.
