What are Mortgages? | by Wall Street Survivor

How to understand your mortgage.

Investing Tips of the Month:

Mortgages exist to solve a problem. Most people want to buy their own home, but a house costs hundreds of thousands of dollars, and you likely don’t have that kind of cash lying around in the crevices of your sofa. You’d have to work and save for decades to get that much money, and in the meantime you could easily end up paying out more in rent than the cost of the house you wanted to buy.

So to enable people to buy a house before they are too old to remember why they wanted it in the first place, we have the mortgage system. A mortgage is just a type of loan, pure and simple. If the house you want to buy costs $100,000, then you could pay $10,000 from your savings (that’s called the downpayment), and borrow the remaining $90,000 from the bank.

So if it’s that simple – just a housing loan that you pay back over time – why all the fuss and complexity around mortgages? Well, mortgages come in more flavors than Ben & Jerry’s ice cream, and not all of them taste good. You’ve got ARMs and balloon mortgages, fixed-rate loans and interest-only loans, bridge loans and refis and reverse mortgages.

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[kortyEdna]

Banks are selling mortgages. People always say it's a good option to buy at discount, but with the market turmoil and everything at stake in present economy, I'm thinking of buying stable coin to hedge against inflation, or is it all right saving over 350k ?

[Riggsnic_co]

I paid up all my mortgages in 2yrs while working with a Financial Adviser. I’m 50 and my husband 54 we are both retired with over $3 million in net worth and no debts. We got to realize that the secret to financial freedom is making better investments.

[diane.moore-]

Back in the day, when I purchased my first home to live-in; that was Miami in the early 1990s, first mortgages with rates of 8 to 9% and 9% to 10% were typical. People will have to accept the possibility that we won't ever return to 3%. If sellers must sell, home prices will have to decline, and lower evaluations will follow. Pretty sure I'm not alone in my chain of thoughts.

[BateserJoanne]

Basically, mortgage rates have reached their highest point since 1998, spanning 25 years. Considering inflation trends, there's potential for them to rise even further. Just a year ago, a 28year fixed rate was only 6%. This prompts the question: should I wait for a housing market downturn before buying or shift my focus towards the equity market?

[WeweAke]

Munger and Buffett have both achieved an incredible feat with Berkshire. They've turned thousands to billions, and have made a lot of people wealthy in the process. I really saw the potential of the stock market by reading Berkshire's annual letters. I recently sold my $674k apartment in the Bel Air area and I'm hoping to throw it into the stock market. I just don't want to lose everything.

[rolandcanales]

Not having a dad, got me here .. smh youtubing basics on life lol damn

[SassyMashaVlogs]

or!! the value of the house can depreciate like it did in the last 5-7 years and you end up owing more then you can sell your house for. Now THAT is the information that NOBODY ever talks about because why would people need to know that? haha.

[arnoldolorenzo]

You forgot to talk about interest. The part that lets the bank recoup their money in about 12-15 years then double the cash they loaned them.

[Eric-]

I’ll be entering adulthood in a couple of years, and since school will not teach me this stuff, I’ll teach it to myself instead.

Thank you, it was very helpful!

[moresuccess]

LMAO WHO WANTS TO FINALLY OWN A HOME AFTER 40 YEARS

[Vicwililiams]

Hi! I’m excited to be here in your channel and I’m interested in learning more about investing. Any advice would be greatly appreciated

[JasonWhitewitnessriches]

New Minimum Credit Score for Mortgage Approval | Dough Chaser TV:

[margarettasanjay]

I’m investing into Stocks and ETFs and have been for 7months now looking to buy a house hopefully by early next year, I started off with $4000 and now at $57k. Sometimes you just work smart

[iaintme]

Thank you wall street survivor channel !

[aery]

This is actually insane if you think about the system we live in

[HollywoodWestern]

Thank you for this! simple and straight to the point. This is the type of stuff that they need to teach in high school. Useful in life

[RnBCutz]

Mortgage in Latin means "Death Pledge". Look it up.

[fksie]

I love how this video was made for the upper classes. Because most people totally are able to save up $100k as newly weds.

[thefuture]

Wrong. If mark and lisa sells their house for $600k right after they bought it for $500k with a down payment of $100k they don't keep $200k.
After taxation and realter fees, they lose about 7% of the price of the house when they well it.
So in conclusion if mark sells his house for $600k, he would get back around $550k so in the end they make $50k profit. However, this is unlikely to happen and if mark really does 40yr amortization he would be spending around 1.2mil for the house for a 500k house due to massive interest rates. I would recommend mark to buy a cheaper house and save up

[Raymondjohn]

Interest rate is currently at 4.75%(8th rate hike since March last year) Inflation at 7% and mortgage rates is at over 7.5% but yet minimum wage remains the same and my retirement portfolio has suffered tremendously these past years, so my question is how do senior citizens retire and live off such unstable economy. The long term game is obviously not for me at this point.