“A Star Is Born”: Remaking Movies and Mortgage Rates
If you end up being part of a conversation about Lady Gaga and Bradley Cooper in “A Star Is Born,” don’t be surprised if you begin to realize there are some in the discussion that may not know this was a remake of efforts by Barbra Streisand and Kris Kristofferson in 1976. And Judy Garland and James Mason in 1954. And Janet Gaynor and Fredric March in 1937.
It will make you feel old. Then, you might find yourself wondering if Kris Kristofferson is still alive (he is)…and a little amazed that Gary Busey is too.
A lot has changed since the 1976 premiere. Potential homebuyers saw mortgage rates spend the year in the upper 8’s — not the high 4’s we see as the 2018 remake hits movie theaters. Rates that have many rethinking homeownership.
It almost has those of us that were around back then really dating ourselves and doing one of those, “Back in my day, you got a rate in the eights — and you were damn glad you got it!”
But, times change. Even names change, as Streisand’s Esther becomes Gaga’s Ally.
Right now there seems to be this expectation among potential homeowners that rates should be in the threes. That is partially true. New homes sales were off 5.5% in September compared to August and 13% lower than a year ago. That may be because the new houses are more like Esther’s mansion than the simpler home where she was actually happy. It is just not easy to build a starter home and be profitable. With rates up, affordability is down — and that may be enough to have aspiring young homeowners no longer pursuing their dreams.