• Pyr_Pressure@lemmy.ca
      link
      fedilink
      arrow-up
      10
      ·
      1 year ago

      Except at a certain rate your entire payment is going towards interest and your principle doesn’t go down at all so its basically throwing money away.

      • ThrowawayPermanente@kbin.social
        link
        fedilink
        arrow-up
        2
        ·
        1 year ago

        It depends. If your payment is less than rent would be you’re still coming out ahead. And the alternative could be a payment you can’t afford. At least this way you can choose to sell or ride it out and wait for rates to come down instead of getting foreclosed on.