It was a bad time (late 70s)to be starting out in life...fortunately I was in the oil business. We knew all about inflation but the money was running fast and loose until ‘82 for some and ‘86 for me and others. Then came 13 hard years of trying to survive for better days.
I was lucky to get our first house for 13%. The second one in 80 was about 9%. The third one in ‘82 was about the same. I really don’t recall what it was, it was unremarkable. Eventually we got about a 6% mortgage in ‘96 or so. I’ve never borrowed money again since.
I did buy 20% bonds in ‘83 or ‘84. Wow!
“I was lucky to get our first house for 13%”
Brutal. At least those rates held down purchase prices some. I was paying high 8% on the house I bought in the late ‘70s. Same place is now priced at 12 times what it sold for then.
“I did buy 20% bonds in ‘83 or ‘84. Wow!”
The buy of a lifetime. Something similar could happen again if the Fed waits too long to put the brakes on inflation and has to slam the door on money supply growth like Volcker did.