Mortgage Crisis?

Question

I live in san diego right now and was wondering if I should be expecting my rent to be going up because of this. I rent a house with 5 people but we are all students/baristas.

Answer 1

Yes, rent usually goes up once a year. The mortgage crisis has to with homes that are going into foreclosure because people took out 5 year interest only loans they couldn't afford to pay back. After 5 years the the real loan payments started.

They thought they could get and interest only loan and the value of the house would increase and they could sell it for a profit.before the higher payments kicked in.  

Most of the people caught up in this aren't even home owners. They're investors who didn't sell before the housing bubble burst.

Unless your landlord or lady borrowed again their house with one of these type of mortgages. Your rent will go up when the lease says so.

Answer 2

Yep........once a year.........cost of living............it will be a big one this year...........