KarstenausNRW
2023-10-27 09:43:34
- #1
By the way, in the USA the mortgage interest rate is already over 8 percent. How are you supposed to finance these high-priced houses there?
Briefly for context. This is the rate for 30-year mortgages. It has increased about 2.8 times from its lowest point to today.
For comparison, the German interest rate development in relation. From the lowest point to today, about a 5.6-fold increase.
So the Americans are actually doing quite well today. They do not have to endure a large interest rate increase. In this respect, the interest rate of 8% initially says nothing except that it has become more expensive.
By the way, prices in the USA are not dropping significantly despite the high interest rates – limited supply/availability, similar to here. At least with decent properties here, weak older buildings are already declining significantly. New constructions in the metropolitan areas are already rising in price again.