From my blog:
Q: What is the mortgage payment on a $400,000?
A: Silly question. What rate, what term, what kind? If you had a 1.55% mortgage with a 30 year amortization (5 year variable closed) you would pay $466,16.
Of interest would be…had you done this mortgage in 1991 at 13.5 % you would have had to pay
$4,582 OR 11 TIMES AS MUCH! Now, do you still blame foreigners for price increases?
It's interest rates baby! Who sets the rates?