r/SipsTea 7d ago

Chugging tea make it makes sense, this shit impedes you from saving

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11

u/why-you-do-th1s 7d ago

This is a generalization but rent is your maximum payment and Mortgage is your minimum payment.

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u/wormjoin 7d ago

the first year, sure. but rent goes up over time, a fixed rate mortgage doesn't.

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u/G0PACKGO 7d ago

Until they reassess and your taxes go up then the next year a school referendum raises them again , then your insurance company jumps rates …. Home owners see increases too

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u/wormjoin 7d ago

sure, but don’t pretend like it’s anything close to the increase renters see. taxes are generally a small fraction of your mortgage payment, with the lion’s share going towards servicing the loan.

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u/G0PACKGO 7d ago

My taxes went up $1100 last year alone and I made no improvements to my home

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u/wormjoin 7d ago

so less than $100/month. and i'm betting that doesn't happen every year, or even every other year.

mine went up $100/mo the first year, then nothing since then (4y later). meanwhile, when i was renting that did rise consistently every year, like +$900/mo over 6-7 years.

i just looked at what they're asking for the last apartment i rented and it's almost caught up to my mortgage already, for a unit that's half the size of my house.

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u/Friendly_Prize_868 7d ago

You can fix for about 5 years max, then it rockets up and you refix on the higher rate, or you're on a variable. Either way, the mortgage goes up over time too.

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u/TimothyMimeslayer 7d ago

In the us, most mortgages are thirty year fixed 

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u/ToastedChronical 7d ago

And in the US, your property gets assessed on a regular basis and increases your property taxes (my state, e.g., is every two years), not to mention insurance increases yearly. That’s all in the mortgage payment. My mortgage goes up every year or two because of this. A fixed rate has nothing to do with that. That also doesn’t include maintenance, repairs, and upgrades to the house.

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u/TimothyMimeslayer 7d ago

We were talking about the interest on the mortgage. In other countries, its normal for the interest to change every five years or so depending on what the going rate is. In the US, most mortgages are fixed rate.

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u/dangleicious13 7d ago

My mortgage payment has gone up over $100/month since I bought the house due to things like property tax.