Few people remember the late 1970s. At that time, I got a 10% mortgage loan only because it was a VA loan. I had friends with conventional mortgage loans that were as high as 14%. (During Jimmah Cahtah's Presidency, the prime rate went to 22%.)
"Few people remember the late 1970s. At that time, I got a 10% mortgage loan only because it was a VA loan. I had friends with conventional mortgage loans that were as high as 14%."
I was a pre-teen then and Dad had just finished his apprenticeships and got his first Really Important Job, so we moved from inner-city Milwaukee where we rented to a home in the suburbs around Madison, WI. (Man, were we moving UP in life, LOL!)
I remember my folks very clearly sweating over interest rates at that time, and the price of gasoline if you could get it. My Grandpa saved the day and financed the home for them at a much more manageable rate of return. Dad did the same thing for me when I bought my first home at 25, and I'll do the same for our son when the time comes.
I've owned six homes so far, and have always made money on real estate, either rental units or single-family homes. If you want to make money in real estate, the trick is to buy no more than you can afford to lose. :)
And stay OUT of the coastal markets; there is plenty of affordable real estate in The Heartland. It ain't Rocket Science. ;)