Quote:
Originally Posted by ranchlandsselling
Hmmmm....
As someone who bought around the $500k level awhile back and as of today still feeling comfortable I could move my house for above $500k this is annoying (I think). That said, should there be a substantial correction in housing it makes me comfortable that $499k should move my house quite quickly even after a fairly sizable correction.
On the flip side, it makes buying in the 500+ range easier (maybe??) as you'll have less competitors by a $25,000 margin increasing by $0.05 on each additional dollar spent.
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Not sure I get the 25k number. But it's only on the portion above 500k. So if you buy a house for 750k, your down payment would have to be 50k (500k @ 5% plus 10% on 250k) as opposed to 75k (750k @ 10%). I don't think it will have a huge effect.