Pretty much title. I’ve seen this talked about a lot but I only very vaguely know what all this means, could someone elaborate on what happened, why it happened and what the consequences of it are?

  • Sphere [he/him, they/them]@hexbear.net
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    8 months ago

    I think it’s worth pointing out the difference in monthly payments for the loans in your example, those payments would be $408.24 at 2.75% interest and $599.55 at 6% (the payback amount divided by 360 months). So a higher interest rate means people have to pay more for housing.