Zuckerberg gets 1% Mortgage loan

[ultimatebob]

why does he need a mortgage?

At just 1% interest, he can find better ways to invest the money he would have used to buy the house.

Besides, it's a mortgage interest deduction on his taxes. Even with Zuck money, Every deduction helps!

 

[Howard]

Again, you don't get rich by spending money unless that money will make more money for you.

That isn't necessarily frugality. And Mark Zuckerberg didn't get rich by penny pinching.

 

[MomentsofSanity]

any good reason you fucking necroed a old thread?

The spam content of the post not obvious enough?

 

[SagaLore]

Meanwhile the fucking bank would not refinance my 6.5% loan.

His is an adjustable rate loan and his income to debt ratio and credit score is considerably better than yours.

 

[ShintaiDK]

Is 1% good? I can finance my mortgage with 0.2% here.

 

[irishScott]

Are you upside down? I'm refinancing my 4.75% loan right now that I got 8 months ago.

Remember, he's also paying $5/gallon of gas. I'm convinced Dave is one of those people who intentionally shoots him/herself in the foot so they have an easier time complaining about it later.

 

[CPA]

faux outrage over not understanding how the mortgage markets work. How shocking.

 

[s0me0nesmind1]

Meanwhile the fucking bank would not refinance my 6.5% loan.

derp derp, loans are based on risk. Very little (Read: None) risk for Mark Zuckerberg to pay off his loan.

Just another case of liberal jealousy

 

[TerryMathews]

It's an adjustable rate mortgage, not a fixed one, and that is the starter teaser rate. You don't know how long it is in effect for, what the mark-up from underlying benchmark will be, and what sort of cap on rate increase there is.

IIRC, Carolyn Warren's Mortgage Ripoffs book said the low teaser rate, pick a payment, option arm that got sold to "subprime" borrowers was originally conceived well before that for really wealthy clients so they could gain liquidity to deploy money elsewhere and earn higher return.

In Zuckerberg's case, my totally unresearched guess would be that this mortgage is somehow designed for tax purposes (tax deductions).

Ding ding ding.