The boots theory is an economic theory that people in poverty have to buy cheap and subpar products that need to be replaced repeatedly, proving more expensive in the long run than more expensive items.

https://en.wikipedia.org/wiki/Boots_theory

  • GlitzyArmrest@lemmy.world
    link
    fedilink
    English
    arrow-up
    2
    ·
    9 months ago

    There were people getting variable rate mortgages when fixed rates were at record lows? I guess I’ve just never understood the appeal of variable rate, either. I don’t want my mortgage to fluctuate, makes it more difficult to budget.

    • givesomefucks@lemmy.world
      link
      fedilink
      English
      arrow-up
      2
      arrow-down
      1
      ·
      9 months ago

      Yep, you can always refinance at a lower rate if it actually does go down substantially.

      You don’t even have to switch lenders, they know they’ll lose you if they dont

      There’s zero reason for variable rate. Lock that shit down.