[EconProf]

Bob, your scenario is both plausible and well-supported.
The Fed and this administration well understand that any significant rise in mortgage interest rates would quickly choke off any emerging recovery in the economy. Accordingly they will do whatever it takes to keep the easy money flowing to home buyers. They will stimulate or compel mortgages to be abundant and cheap, even if it means a two-tier rate structure in which bond market rates trend higher but home mortgages remain a bargain. Subsidizing buyers plays well politically and shows up elsewhere in policy.
For example, it is already clear that the big 3 automakers will be induced (bribed) to make small cars domestically via government subsidies to buyers, by some direct or indirect (hidden) means. Raises overall mileage average, “helps” beleagured car buyers, props up the overpaid UAW workers, and sells politically. Just the kind of politically driven market tinkering we’ll see more and more of, with destructive overall long-term effects.

[EconProf]

Bob, your scenario is both plausible and well-supported.
The Fed and this administration well understand that any significant rise in mortgage interest rates would quickly choke off any emerging recovery in the economy. Accordingly they will do whatever it takes to keep the easy money flowing to home buyers. They will stimulate or compel mortgages to be abundant and cheap, even if it means a two-tier rate structure in which bond market rates trend higher but home mortgages remain a bargain. Subsidizing buyers plays well politically and shows up elsewhere in policy.
For example, it is already clear that the big 3 automakers will be induced (bribed) to make small cars domestically via government subsidies to buyers, by some direct or indirect (hidden) means. Raises overall mileage average, “helps” beleagured car buyers, props up the overpaid UAW workers, and sells politically. Just the kind of politically driven market tinkering we’ll see more and more of, with destructive overall long-term effects.

[EconProf]

Bob, your scenario is both plausible and well-supported.
The Fed and this administration well understand that any significant rise in mortgage interest rates would quickly choke off any emerging recovery in the economy. Accordingly they will do whatever it takes to keep the easy money flowing to home buyers. They will stimulate or compel mortgages to be abundant and cheap, even if it means a two-tier rate structure in which bond market rates trend higher but home mortgages remain a bargain. Subsidizing buyers plays well politically and shows up elsewhere in policy.
For example, it is already clear that the big 3 automakers will be induced (bribed) to make small cars domestically via government subsidies to buyers, by some direct or indirect (hidden) means. Raises overall mileage average, “helps” beleagured car buyers, props up the overpaid UAW workers, and sells politically. Just the kind of politically driven market tinkering we’ll see more and more of, with destructive overall long-term effects.

[EconProf]

Bob, your scenario is both plausible and well-supported.
The Fed and this administration well understand that any significant rise in mortgage interest rates would quickly choke off any emerging recovery in the economy. Accordingly they will do whatever it takes to keep the easy money flowing to home buyers. They will stimulate or compel mortgages to be abundant and cheap, even if it means a two-tier rate structure in which bond market rates trend higher but home mortgages remain a bargain. Subsidizing buyers plays well politically and shows up elsewhere in policy.
For example, it is already clear that the big 3 automakers will be induced (bribed) to make small cars domestically via government subsidies to buyers, by some direct or indirect (hidden) means. Raises overall mileage average, “helps” beleagured car buyers, props up the overpaid UAW workers, and sells politically. Just the kind of politically driven market tinkering we’ll see more and more of, with destructive overall long-term effects.

[EconProf]

It is hellishly difficult to manage a rental property from a distant state, so their rule makes sense.
You don’t say whether the current loan is at an owner-occupied rate or an investor (non-occupied) rate. I am finding a HUGE difference in the two, so she may be better off staying with the current loan anyway.

[EconProf]

It is hellishly difficult to manage a rental property from a distant state, so their rule makes sense.
You don’t say whether the current loan is at an owner-occupied rate or an investor (non-occupied) rate. I am finding a HUGE difference in the two, so she may be better off staying with the current loan anyway.

[EconProf]

It is hellishly difficult to manage a rental property from a distant state, so their rule makes sense.
You don’t say whether the current loan is at an owner-occupied rate or an investor (non-occupied) rate. I am finding a HUGE difference in the two, so she may be better off staying with the current loan anyway.

[EconProf]

It is hellishly difficult to manage a rental property from a distant state, so their rule makes sense.
You don’t say whether the current loan is at an owner-occupied rate or an investor (non-occupied) rate. I am finding a HUGE difference in the two, so she may be better off staying with the current loan anyway.

[EconProf]

It is hellishly difficult to manage a rental property from a distant state, so their rule makes sense.
You don’t say whether the current loan is at an owner-occupied rate or an investor (non-occupied) rate. I am finding a HUGE difference in the two, so she may be better off staying with the current loan anyway.

[EconProf]

DWCAP: That post really hit home.
Last night a family friend from Oregon temporarily moved in with us.
A month earlier she had moved to CA, found a Mira Mesa room for rent & signed up. After a while the 8 (!) other tenants became too much for her, plus the uncleanliness of it all, and she moved in with us–for a few days until June 1 when her next room rental is available.
Is this housing model the future of the McMansions the builders threw up earlier in this decade? Despite demographic trends of the baby-boomers dictating downsizing they kept putting bigger and bigger houses on smaller and smaller lots. A lot of room-rental houses in such neighborhoods is something to look out for for you buyers with an eye toward the future. Neighborhoods with streets clogged with parked cars, noise, and higher density are to be avoided if you seek appreciation in values.

[EconProf]

DWCAP: That post really hit home.
Last night a family friend from Oregon temporarily moved in with us.
A month earlier she had moved to CA, found a Mira Mesa room for rent & signed up. After a while the 8 (!) other tenants became too much for her, plus the uncleanliness of it all, and she moved in with us–for a few days until June 1 when her next room rental is available.
Is this housing model the future of the McMansions the builders threw up earlier in this decade? Despite demographic trends of the baby-boomers dictating downsizing they kept putting bigger and bigger houses on smaller and smaller lots. A lot of room-rental houses in such neighborhoods is something to look out for for you buyers with an eye toward the future. Neighborhoods with streets clogged with parked cars, noise, and higher density are to be avoided if you seek appreciation in values.

[EconProf]

DWCAP: That post really hit home.
Last night a family friend from Oregon temporarily moved in with us.
A month earlier she had moved to CA, found a Mira Mesa room for rent & signed up. After a while the 8 (!) other tenants became too much for her, plus the uncleanliness of it all, and she moved in with us–for a few days until June 1 when her next room rental is available.
Is this housing model the future of the McMansions the builders threw up earlier in this decade? Despite demographic trends of the baby-boomers dictating downsizing they kept putting bigger and bigger houses on smaller and smaller lots. A lot of room-rental houses in such neighborhoods is something to look out for for you buyers with an eye toward the future. Neighborhoods with streets clogged with parked cars, noise, and higher density are to be avoided if you seek appreciation in values.

[EconProf]

DWCAP: That post really hit home.
Last night a family friend from Oregon temporarily moved in with us.
A month earlier she had moved to CA, found a Mira Mesa room for rent & signed up. After a while the 8 (!) other tenants became too much for her, plus the uncleanliness of it all, and she moved in with us–for a few days until June 1 when her next room rental is available.
Is this housing model the future of the McMansions the builders threw up earlier in this decade? Despite demographic trends of the baby-boomers dictating downsizing they kept putting bigger and bigger houses on smaller and smaller lots. A lot of room-rental houses in such neighborhoods is something to look out for for you buyers with an eye toward the future. Neighborhoods with streets clogged with parked cars, noise, and higher density are to be avoided if you seek appreciation in values.

[EconProf]

DWCAP: That post really hit home.
Last night a family friend from Oregon temporarily moved in with us.
A month earlier she had moved to CA, found a Mira Mesa room for rent & signed up. After a while the 8 (!) other tenants became too much for her, plus the uncleanliness of it all, and she moved in with us–for a few days until June 1 when her next room rental is available.
Is this housing model the future of the McMansions the builders threw up earlier in this decade? Despite demographic trends of the baby-boomers dictating downsizing they kept putting bigger and bigger houses on smaller and smaller lots. A lot of room-rental houses in such neighborhoods is something to look out for for you buyers with an eye toward the future. Neighborhoods with streets clogged with parked cars, noise, and higher density are to be avoided if you seek appreciation in values.

[EconProf]

It is important to point out, or prove if possible, that the place was not painted when you moved in. Likewise with painting.
This is why it is vitally important, when first renting a place, to note all deficiencies in great detail (after you’ve lived there a week or so to see them all), then send this to landlord to acknowledge this.
I encourage this for all my tenants. Saves arguments when they leave as there is a paper trail. Surprisingly, I usually have to prod & prod them to submit the list.

[Author]

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