Looks like interest rates are making stuff boomers buy Wall Street hot buys.
The Boomers have plenty of disposable income…and now are earning 20 year high rates on fixed income products. The Millennials are getting squeezed big time by the enormous inflation we have seen over the last couple of years.
“Baby boomers are flush, with high interest rates fattening their savings accounts.”
Sorry, moving from stocks where I was averaging probably 10%/year for years to MM or CD’s making 5% and my portfolio is down, I do not feel “flush”. And 5% is high interest? I remember in 1980 when CDs were paying 15% interest and I was looking to buy a house. My first house I had over 13% interest rate. Now THAT was high interest!
My lifetime high for 1st mortgage interest was 17% … in the mid to late eighties as I recall.
Spurred by the Great Inflation, the 30-year fixed mortgage rate reached a pinnacle of 18.4 percent in October 1981, according to Freddie Mac. The Y-axis on this graph is 5, 10 and 15%
We bought houses and had 1st mortgages in 1976, 1978, 1980, 1984 and 1992. It musta been the 79-84 timeframe. We got rid of our mortgages in 2000.