This is difficult to explain. I can’t figure out a rule of thumb for spending, the prices of things fluctuate so quickly it’s confusing. Here are some examples
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A house, prices are out of control, inventory is low, sellers are greedy. I’m feeling not only unable to afford it but finding lack of value in inflated prices
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Computer parts. Relatively cheap compared to pandemic but more expensive than before but also much cheaper than 90s/00s, but still could be cheaper
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TWS earbuds, completely different ball game from regular earbuds, disposable electronics.
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Food. Nights out with drinks now sometimes cost me more than 2 & 3, but seem like just keeping up with inflation
The prices range from 100,000s to 100s, but some are fleeting, some semi permanent, some last a long time. I also spend hours researching prices of parts and waiting for sales, but spending the same amount on social events in an instant
If you’re looking at 300k @ 8%, youre not going to be paying anything similar to your current rent. I got a place for 190k @ 6%, and I’m paying about 200/mo less for my mortgage than you do for rent. At that rate, I’d be surprised if you got out under 2500/mo.
did that include taxes being paid from escrow? He might be doing a simplified thing and did not include taxes and such. Something I think to that people don’t realize with mortgages is the excrow part can go up so the monthly is not completely locked in.
8% of 300,000 is 24,000.
That is $2000/month.
It is basic arithmetic.
Sure, if you ignore all kinds of other factors like additional closing costs added to your mortgage, as well as stuff like insurance and property taxes and the interest on the loan itself. But yeah, simple arithmetic…
I wish it was as easy as just a percentage of the mortgage every month
The offset to the basic arithmetic is negligible.
In my case, a $300k home would yield a $2k/mo mortgage
Source: I’m fucking buying a house.
Jfc y’all
It is basic arithmetic.
That’s not at all how interest is calculated on amortized loans