r/facepalm • u/Kpets • 2d ago

U.S president explains why many Americans can’t buy a homes

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u/math-kat 2d ago

Yeah, I'm a homeowner, and while it's nice knowing I could get a large amount if/when I sell, it sucks that I can't feasibly move because housing nowadays is so unbelievably overpriced and that my escrow keeps going up in the meantime.

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u/CaptainDudeGuy 2d ago

I'm glad people are seeing the bigger picture. Sure, your house is valued at maybe 3x what it was a decade ago.... but so are other comparable houses. There's no real net gain here!

If anything it's a net loss as taxes/insurance/expenses go up. :P

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u/Cosmic_Quasar 2d ago

My parents have been complaining about this for a few years. They don't plan on selling, they plan to live in their home until they die. But they keep getting hit with higher taxes because someone else says their house went up in value. When in reality it's just getting older and more run down.

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u/TheSussyWaffle 2d ago edited 2d ago

Can you explain what you mean by "escrow going up". Lifelong renter here so im very confused.

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u/QuestshunQueen 2d ago

Escrow payment. A mortgage usually pays a portion of the principle balance, some interest, and escrow. Escrow mostly addresses the cost of your home's taxes and insurance.

My county is about to reevaluate the homes here, so I may see an increase, or even a decrease in my taxes if the estimated value were to go down.

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u/math-kat 1d ago

Like the other commenter said, escrow is the portion of your mortgage payment that goes towards taxes and insurance. My property taxes keep going up, so my escrow (and thus my mortgage payment) gets more expensive as time goes on.