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Numerous proposed ethanol projects across the United In 1982, the disastrous Garn-St Germain law, which deregulated the banking system, was approved, removing the wise and longstanding restrictions which had severely limited the amount of money the S Ls could lenders invest in shows for the period 1963-2001, the total cost to purchase a new home, on a 30-year mortgage. The purchase price used for this demonstration, is the nationwide median cost of a new home, as reported by the National Association of Realtors. The interest rate is the fixed interest lenders rate prevailing for that year. In 1963, the median cost of a new home was $18,000. The total cumulative cost to buy the new home on a 30-year mortgage, was $34,616: $18,000 paid in purchase price (which is broken down into down payment, and principal), and $16,616 paid in interest. In 2001, the median cost of a new home was $174,000. The total cumulative cost to buy a new home on a 30-year mortgage leapt to $393,986: $174,000 paid for the median purchase price, and $219,986 paid in cumulative interest. So, today, the mortgage-payer must pay nearly a quarter of a million dollars in interest. The cumulative interest cost, which in 1963 was somewhat lower than the purchase price, in 2001's low-rates market was nearly 1.3 times greater than the original $174,000 purchase price of the house.
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