If you are paying a fixed rate on a mortgage, is inflation then a good thing?
In: Economics
Short answer, no. Long answer is that while your effective mortgage rate will decrease, your income will likely increase at a slower rate so on the whole you’ll end up behind when inflation spikes. If it holds steady, then in the long run you’re effectively paying less, but that’s one of the main reasons loan companies have you pay so much interest up front
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