- My Forums
- Tiger Rant
- LSU Recruiting
- SEC Rant
- Saints Talk
- Pelicans Talk
- More Sports Board
- Fantasy Sports
- Golf Board
- Soccer Board
- O-T Lounge
- Tech Board
- Home/Garden Board
- Outdoor Board
- Health/Fitness Board
- Movie/TV Board
- Book Board
- Music Board
- Political Talk
- Money Talk
- Fark Board
- Gaming Board
- Travel Board
- Food/Drink Board
- Ticket Exchange
- TD Help Board
Customize My Forums- View All Forums
- Show Left Links
- Topic Sort Options
- Trending Topics
- Recent Topics
- Active Topics
Started By
Message
re: The most political biased Federal Reserve Chairman in the history of the Federal Reserve.
Posted on 1/15/26 at 8:56 am to Ten Bears
Posted on 1/15/26 at 8:56 am to Ten Bears
quote:I think it's a confusion about where the price increases are, but I think the point is still valid.
So when interest rates were low during COVID, housing prices went down right?
All because the mortgage prices were lower, right?
Your point makes total sense.
The cost of a house may not be specifically impacted by interest rates, but the monthly payments on a mortgage certainly are. If a family cannot pay the monthly payment because of the higher interest rate, the result is the same as if the price of the actual home were too high.
It would actually be easier to adjust the interest rate to be lower than to make the price of building a house lower, and in doing so, it could allow more potential buyers to pull the trigger on buying a home when they can't currently.
0
Posted on 1/15/26 at 8:57 am to LSURussian
quote:Indeed.
Nope.
The higher the mortgage rates are will result in lower demand by buyers to purchase houses.
Lower demand to buy houses results in sellers lowering their asking price.
Lower housing prices results in more affordability for home buyers.
Presumably Kiwi's question was misworded.
Posted on 1/15/26 at 8:58 am to Auburn1968
quote:
The cost of a mortgage has a great deal to do with interest rates.
Have you never had a mortgage?
And when rates go down the list prices tend to shoot up
Posted on 1/15/26 at 9:00 am to Timeoday
One option is continue doing rotten things to the economy and expect the Fed to do small things to help you, and cry and blame them when they don't and the economy slides.
Another option is neuter the Fed by doing great things for the economy, meaning whatever the Fed chooses to do, it just doesn't matter.
Another option is neuter the Fed by doing great things for the economy, meaning whatever the Fed chooses to do, it just doesn't matter.
Posted on 1/15/26 at 9:02 am to KiwiHead
Start with development of home and the added interest costs of borrowing to procure land, infrastructure, roadway. Then let’s do purchasing of materials and construction crews. This higher interest rate will undoubtedly increase costs of housing. Hey now look backwards on everything level that is mentioned and consider that those things are done with borrowed money at higher interest rates too.
Posted on 1/15/26 at 9:04 am to CaptEasy
quote:
If they lower interest rates, you will pay less for your house.
You just opened up a whole new way of thinking for that fella.
Posted on 1/15/26 at 9:04 am to CaptEasy
quote:
The higher the interest rate, the higher your mortgage payment will be,
If they lower interest rates, you will pay less for your house.
People don't worry about the "price" of the home in reality. They look at what they can afford for monthly payments. Same w/ cars and boats. Sellers know this. When interest rates are higher, it will put downward pressure on the asset's price. When interest rates are lower, it puts upward pressure on the asset's price.
Posted on 1/15/26 at 9:07 am to LSURussian
quote:
Lower demand to buy houses results in sellers lowering their asking price.
Lower demand means fewer houses being built which means lower inventory of available houses which means higher prices ..........
Posted on 1/15/26 at 9:07 am to OccamsStubble
Can someone explain to me why interest rates need to come down if the economy is so good? We’re in a golden age according to Trump, why do rates need to come down? Wouldn’t juicing the “hottest” economy in the world just lead to inflation?
This post was edited on 1/15/26 at 9:21 am
Posted on 1/15/26 at 9:07 am to Ten Bears
Covid caused shortages of everything as people were forced out of work in many cases. Shortages created higher costs, hence housing and everything else increases. Inflationary pressures because of monetary policies loosened causing much of the increases. Interest rates affect everything not just housing or cars as businesses pay higher interest pass it in costs of goods.
Posted on 1/15/26 at 9:10 am to Ten Bears
quote:
Lower rates to zero and watch what happens to home prices Einstein
You are assuming builders remain on the sidelines as rates drop. Wow. Inventory is a major factor.
Posted on 1/15/26 at 9:11 am to KiwiHead
quote:
Explain how keeping rates high is inflating the cost of houses?
People don’t want to sell their houses right now because they are locked into lower interest rates on their mortgage. If they sell and move to another house their rate will be much higher.
The supply of houses is much lower because of this. With lower supply the prices have skyrocketed.
I’ve seen it where I live.
Posted on 1/15/26 at 9:11 am to SDVTiger
quote:You obviously don't know what "transitory" means so let me help you out.
claims he didnt say inflation was transitory
quote:
Dictionary
Definitions from Oxford Languages:
tran·si·to·ry
/'tranz??tôre,'tran(t)s??tôre/
adjective
adjective: transitory
-not permanent.
Let me remind you that YOU are the dumbass who keeps preaching there is no inflation now, or very low inflation, based on your voodoo website run by a crypto fraudster who was fired by his own board of directors from the crypto company he founded.
You're trying to have it both ways: 1) Inflation is permanent, AND, 2) there is no inflation now.
Posted on 1/15/26 at 9:14 am to KiwiHead
To be fair it doesn't say " inflating the cost of houses". It says "inflating the cost of owning houses", there is a difference.
Posted on 1/15/26 at 9:15 am to Jesterea
quote:
Can someone explain to me why interest rates need to come down if the economy is so good? We’re in a golden according to Trump, why do rates need to come down? Wouldn’t juicing the “hottest” economy in the world just lead to inflation?
Posted on 1/15/26 at 9:18 am to Ten Bears
quote:
quote:
This is because the cost of financing it increased, you dunce.
Lower rates to zero and watch what happens to home prices Einstein
You can pay the bank or the property owner. Nothing is going to be free, Einstein.
Posted on 1/15/26 at 9:20 am to Timeoday
quote:Yep.
You just opened up a whole new way of thinking for that fella.
$400K @ 5.5% 30-year mortgage
Total paid over 30 years: ~ $817,616
$400K @ 6.5% 30-year mortgage
Total paid over 30 years: ~ $910,178
Posted on 1/15/26 at 9:21 am to LSURussian
quote:
You obviously don't know what "transitory" means so let me help you out.
You should send that the JPow not me
Posted on 1/15/26 at 9:27 am to CaptEasy
quote:
The higher the interest rate, the higher your mortgage payment will be, If they lower interest rates, you will pay less for your house.
You know that the federal funds overnight rate has nothing to do with home mortgage rates right?
Have you ever heard of the bond market ?
Posted on 1/15/26 at 9:31 am to Timeoday
Dude just flat lies. Says they raise and lower rates based on a variety of important indicators and data.
However he blatantly ignored those same indicators and cut rates during some of the high inflation earlier in Biden term.
Typical lying politician trying to claim high road that he wasn’t on under Biden term. Crooked motherfricker that is VERY political.
However he blatantly ignored those same indicators and cut rates during some of the high inflation earlier in Biden term.
Typical lying politician trying to claim high road that he wasn’t on under Biden term. Crooked motherfricker that is VERY political.
Page 2 of 7
Popular
Back to top
Follow TigerDroppings for LSU Football News