Latest news with #economicConditions
Daily Mail
3 days ago
- Lifestyle
- Daily Mail
I moved to regional Australia because I thought it would be easier than living in a big city... but here's why it's not working out
A young woman struggling with the cost-of-living crisis has revealed how moving to the country for a cheaper lifestyle has backfired as there are no jobs available. Larissa, 28, said her conception of a hardworking but comfortable life had been shattered by the current economic conditions. She said in a TikTok video life was tough for those in their 20s and 30s and she often wondered 'what is the point?' She said many young Australians had been sold the idea they could go to university, get a degree and get a good job before being set for life. 'And that job is meant to pay for a house and maybe a holiday once a year, and maybe you'd have some kids,' she said. 'And that's like not happening now and you're kind of just like, what's the actual point of anything?' Larissa said she thought, by her age, she might have 'a three-bedroom house' and be 'thinking about kids and maybe be successful' in her career. The disgruntled Aussie was interrupted by a sound in the background of the video, saying it came from her landlord's grandchildren because she lived in a 'tiny studio'. 'And no, I don't live in Melbourne or Sydney. I moved regional to try and save money and there's no jobs out here,' she clarified. 'Anyway, it's kind of just made me reassess my whole life. Like what am I doing? Should I just go travelling? 'I'm the type of person to plan everything but I'm just kind of feeling like f*** it. Do I just do what makes me happy?' More than 3,000 social media users weighed in, many saying they felt similar impulses. 'We have a doctor and lawyer in the family and they can't afford houses in Sydney where they work,' one commiserated. '(I'm) in my 30's, I'm the highest paid person in my extended family, minimal debt, in secure employment and it's miserable,' another said. 'I still cant buy a house – local or regional – so we're using money to travel and see the world.' 'That's exactly where we are at. We are miserable in Australia at the moment,' a third wrote. 'I'm 27 with a degree and living in a studio too, working full time and just spent my Sunday morning on Seek applying for weekend work,' one woman agreed. 'Median wage is $75,000 average rent is over $700 a week. The country is cooked,' another added, quoting Sydney unit rental averages. Another added simply, 'Australia is broken'. 'It's a mince meat, cask wine future,' another joked. Others, however, offered some harsher advice. 'I'm mid 40s. I felt like that in my 20s. It's called being in your 20s,' one wrote. ''Should I just go travelling?' There's your problem,' another said. 'If you are 28 and you don't have at least 80k in your bank account to use as a deposit and or a career that will enable you to get a loan of $650k then it's your fault you are where you are now at 28.'
Wall Street Journal
07-05-2025
- Business
- Wall Street Journal
Mortgage Rates Today, May 7, 2025: 30-Year Rates Rise to 6.83%
Factors influencing current mortgage rates Today's mortgage rates are influenced by economic and market conditions, as well as personal factors. The rate you're quoted by a lender might be higher or lower than the national average. Here are some of the items considered when calculating your mortgage rate: 10-year Treasury yield: Current mortgage rates, especially on a 30-year fixed-rate mortgage, are related to movements in the 10-year Treasury yield. Current mortgage rates, especially on a 30-year fixed-rate mortgage, are related to movements in the 10-year Treasury yield. Mortgage-backed securities: The rate investors earn on mortgage-backed securities also plays a role. Spreads between mortgage-backed securities and Treasury yields, as well as between what lenders offer borrowers and mortgage-backed security rates, impact current mortgage rates. The rate investors earn on mortgage-backed securities also plays a role. Spreads between mortgage-backed securities and Treasury yields, as well as between what lenders offer borrowers and mortgage-backed security rates, impact current mortgage rates. Investor sentiment: Perceptions about fiscal policy and economic conditions can affect how Treasuries move, as well as how much risk lenders feel comfortable taking on. Perceptions about fiscal policy and economic conditions can affect how Treasuries move, as well as how much risk lenders feel comfortable taking on. Personal credit history: The information in your credit report and your credit score influence your mortgage rate quote. The information in your credit report and your credit score influence your mortgage rate quote. Income: Lenders look at your income relative to your potential mortgage payment and other debts you have. If it appears you can handle your mortgage payments with relative ease, they feel more comfortable lending you money. Lenders look at your income relative to your potential mortgage payment and other debts you have. If it appears you can handle your mortgage payments with relative ease, they feel more comfortable lending you money. Down payment: Your mortgage rate might be lower if you make a larger down payment; often, the best results are when you put at least 20% down. Your mortgage rate might be lower if you make a larger down payment; often, the best results are when you put at least 20% down. Points paid: Mortgage points, also known as discount points, are fees paid upfront as a way to directly reduce your rate and lower your monthly payments. Each point, which represents 1% of your loan amount, can potentially reduce your rate by up to 0.25 percentage points. Mortgage points, also known as discount points, are fees paid upfront as a way to directly reduce your rate and lower your monthly payments. Each point, which represents 1% of your loan amount, can potentially reduce your rate by up to 0.25 percentage points. Loan term: A 15-year mortgage rate is usually lower than a 30-year rate. By choosing a shorter term, you might be able to get a lower interest rate, but your monthly payment might be higher. How to choose the right mortgage for your financial goals When considering a mortgage, review your financial situation and goals. Often, 30-year fixed-rate mortgages are chosen because they spread a large payment over a longer period of time, making monthly payments more affordable. Even though the loan costs more overall, it might be more affordable on a day-to-day basis. If your main concern is becoming debt-free sooner while paying less interest and you can afford a higher monthly payment, a shorter-term loan might make sense. Let's say you get a $350,000 loan. Here's what you might pay with different mortgage terms: 30-year loan (6.97%): Monthly payment of $2,321.51 and total interest amount of $485,744.05 Monthly payment of $2,321.51 and total interest amount of $485,744.05 20-year loan (6.74%): Monthly payment of $2,659.19 and total interest amount of $288,206.46 Monthly payment of $2,659.19 and total interest amount of $288,206.46 15-year loan (6.20%): Monthly payment of $2,991.45 and total interest amount of $188,461.10 Monthly payment of $2,991.45 and total interest amount of $188,461.10 10-year loan (6.16%): Monthly payment of $3,913.90 and total interest amount of $119,667.88 These scenarios don't include other costs, like insurance and property taxes, that you might also be subject to. It's important to consider those costs as well. For example, you might think you can afford the payments on a 20-year or 15-year mortgage, but once you add in other homeownership costs, your budget might feel tight. Don't forget other homeownership costs that might impact your monthly budget, including maintenance, repairs, utilities and other expenses that might be higher once you move into a house. When choosing a mortgage, the principal and interest payments aren't the only considerations. One strategy might be to choose a longer loan, but make extra payments to pay down the debt faster and reduce the amount of interest you pay. With this approach, you can choose to pay extra each month, but if you need to cut back due to emergency, you can revert to the required lower monthly payment with a lower risk of not being able to meet the obligation. If you lock into a shorter loan term with a higher payment, you can't scale back payments later without risking the loss of the home.
