A first-time homeowner said she feels trapped in her home despite securing a low mortgage.
Amanda, who lived in Portland, Oregon, said she and her husband felt trapped by “golden handcuffs.”
The 36-year-old owner and her husband Drew, 41, bought the house in early 2021, during the pandemic.
She said they could afford the house because of the low 3.5% interest rate they got for a long-term fixed rate deal, according to Realtor.com.
“It felt like a now or never moment,” Amanda said.
“Lower rates equal more purchasing power.”
The couple purchased a three-bedroom, two-bathroom home, which they said would be unattainable for them.
This ideal situation turned sour when the couple had a child and considered moving back to their hometown of Chicago, Illinois.
Amanda said she felt unable to leave due to the drastic increase in interest rates she would have to pay for a new property.
The current average mortgage rate for buyers is 7.57%, according to Wall Street Journal.
Amanda described her low fixed mortgage rate as “golden handcuffs.”
“Our current situation is very good, but I don’t see a viable path forward from here,” she said.
“I feel trapped here.”
“There is a fear of losing this really incredible mortgage rate that we have,” she added.
Amanda said that the couple has been considering other options in the face of the crisis.
They thought about renting out their house in Portland and using the money there to rent in Chicago.
There’s this fear of losing this really incredible mortgage rate that we have.”
Amanda
The US Sun has previously reported on other homeowners who have also become “trapped” by mortgage rates.
Nancy Farrington said she was concerned about the prospects of successfully selling her condominium in this economic climate.
The Boston, Massachusetts, homeowner said she purchased her home in 2021 with a low-rate, 30-year fixed-rate contract.
She explained that her home, in a desirable part of town, could stay with her when she plans to return home to Charleston, South Carolina, as people there may not be willing to pay high fees.
“Nowadays, who’s going to take on an 8% mortgage?” Farrington said.
“That makes me very pessimistic, but then again, I’m Catholic and a Red Sox fan, so I’m always pessimistic,” she added.
This story originally appeared on The-sun.com read the full story
