Jump to content
Science Forums

Negative Side Effects Of Low Interest Rates?


Maine farmer

Recommended Posts

Are not the benefits of a low interest rate cancelled out by inflation?  When I bought my first house in the early 1990s, I paid only $45,000 dollars, but had a mortgage with an interest rate of 8%.  Similar homes on the market in my area today are going for around $100,000 with an interest rate of around 4.5% depending on your credit rating.  

 

I have noticed similar situations with farm equipment.  A tractor my father purchased when I was in kindergarten cost $14,000 would cost at least $90,000 if it was new today.

 

Even worse, a forage harvester that we purchased 6 years ago cost $38,000 would cost us $85,000 today!

 

Inflation stings!  

Link to comment
Share on other sites

Join the conversation

You can post now and register later. If you have an account, sign in now to post with your account.

Guest
Reply to this topic...

×   Pasted as rich text.   Paste as plain text instead

  Only 75 emoji are allowed.

×   Your link has been automatically embedded.   Display as a link instead

×   Your previous content has been restored.   Clear editor

×   You cannot paste images directly. Upload or insert images from URL.

Loading...
×
×
  • Create New...