re: Great Wealth Transfer is going in the wrong direction

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All but the shittiest boomers were basically handed a high paying job out of high school and were immediately able to afford a quality house, car, and multiple kids

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what were the highest home interest rates in us history

AI Overview

The highest 30-year fixed home interest rates in U.S. history peaked at an astonishing 18.63% in October 1981. This eye-watering rate was driven by the Federal Reserve's aggressive actions to fight rampant, double-digit inflation.

How did they get that high?

To understand how home loans worked in the early 1980s, think of the economy as a balloon inflating too fast. The Federal Reserve raised its benchmark interest rate (the rate banks charge each other) to over 22% to slow down spending and stop prices from rising. This made borrowing money extremely expensive across the board, driving mortgage rates to record highs.

How do they compare to history?

The Record High: October 1981

Long-Term Average: Historically, rates hover around 7.23% (since Freddie Mac began tracking them in 1971).

The Record Low: January 2021, when pandemic-era policies dropped the 30-year rate to just 2.65%.



Cry more...

Boomers have always lived off their children’s future in one way or another. This is not surprising.

The generation that had it the easiest continues to disappoint.

No CC debt. Pay off every month.

Home will be paid off in 10 years. 4 years before the earliest I plan to retire.

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the idea that most baby boomers are leaving behind meaningful assets to their children is silly

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That’s right, because the healthcare industry cleans out the boomer’s nest egg before they pass.

If non-boomers want to do something to protect their inheritance…fix the healthcare system.

frick boomers.

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-Nearly 44% of older Americans rely exclusively on Social Security for all of their income.

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This is honestly pathetic on the part of older Americans. The stock market went up like a rocket for most of their working careers. Where is all that money?

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That’s right, because the healthcare industry cleans out the boomer’s nest egg before they pass.

If non-boomers want to do something to protect their inheritance…fix the healthcare system.

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100% this right here. Healthcare is going to make sure they wipe out any Boomer's wealth before they pass. That's why I've never believed in the whole "great wealth transfer.

I think they say something like 70-80% of someone's health care costs occur in the last year of their life.

My dad had this happen. Had several strokes and other issues related to diabetes. Had to be put in a nursing home once it became too much for my family to handle, as he was going to require almost 24 hour care, including medicine every hour.

My mom had planned to save up $1 million to give to my sister and I. After some bad investments by my dad and the healthcare costs, my mom is lucky to have just under $200,000. Now given my mom is the type who would rather die than go into long term care, otherwise at some point that get's wiped out too.

The worst thing is think is that Millennials and Gen Z save no money, as they count on the inheritance being their retirement. It's going to be bad for a lot of them when they realize they aren't getting the inheritance they think they are.

I would be surprised if more than 20% of boomer's pass on a legitimate inheritance to their kids, whether that's Gen X, Millennnials or Gen Z.

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The worst thing is that I think my Millennials and Gen Z save no money, as they count on the inheritance being their retirement. It's going to be bad for a lot of them when they realize they aren't getting the inheritance they think they are.

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That's the cool thing about growing up a poor Millenial, shiiiiiiiit itd be nice to think my parents had a sizeable inheritance

They going out just as broke as they came in. No expectancy of inheritance

thats BS