Quote:
Originally Posted by RickFLM4
Why does a 2-3% mortgage rate make someone house poor?
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It doesn't; we have a small 2-3% mortgage and we're not house poor.
However, if you've bought a home you were barely able to afford and your rate was 2-3%, you're much more likely to be "stuck" as you've already assumed all the housing cost burden you can handle. I don't know if the term has gone out of common use, but in CA back in the day that was called being 'house poor' - and there were a LOT of people in that situation.
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