Users Online Now:
1,559
(
Who's On?
)
Visitors Today:
320,086
Pageviews Today:
523,047
Threads Today:
175
Posts Today:
3,055
07:24 AM
Directory
Adv. Search
Topics
Forum
Back to Forum
Back to Thread
REPLY TO THREAD
Subject
What happens to mortgages during hyperinflation?
User Name
Font color:
Default
Dark Red
Red
Orange
Brown
Yellow
Green
Olive
Cyan
Blue
Dark Blue
Indigo
Violet
Black
Font:
Default
Verdana
Tahoma
Ms Sans Serif
In accordance with industry accepted best practices we ask that users limit their copy / paste of copyrighted material to the relevant portions of the article you wish to discuss and no more than 50% of the source material, provide a link back to the original article and provide your original comments / criticism in your post with the article.
[quote:Movalong:MV8zOTExOTA1XzcwNTUyNTIwX0QyRTcyOTFG] [quote:Mental Case:MV8zOTExOTA1XzcwNTUyMjk4XzNBODc2RTYz] You just never know. The bank could recall the loan immediately. If it's an official government devaluation of currency then they MIGHT also index all debt to the percentage of devaluation. If market forces devalue the currency then you MIGHT be able to pay off your mortgage with pocket change. Hyperinflation is a wild animal & very unpredictable. [/quote] :trump-HRYK: [/quote]
Original Message
With all the talk and rumors of a coming worldwide economic carsh lately, was wondering this:
Let's say you buy a house in calm economic times. You put half down, get a 30 year mortgage, and pay $1000/mo at 6%.
Then hyperinflation hits. A cup of coffee costs $1 million, like in Venezuela and Zimbabwe.
What happens to your mortgage? (assuming the banks are still standing) Do you pay it off with your pocket change? Or is there a catch?
(I recently read mortgage papers, 15 pages of it, and don't see any clause about money becoming worthless. But then again, I'm not a lawyer either)
Thanks in advance for your input.
Pictures (click to insert)
General
Politics
Bananas
People
Potentially Offensive
Emotions
Big Round Smilies
Aliens and Space
Friendship & Love
Textual
Doom
Misc Small Smilies
Religion
Love
Random
View All Categories
|
Next Page >>