only ever pay them for the pretense of owning something some day in the future (beyond your natural lifespan).

It was considered progress when tying people to the land for generations was finally abolished.

The right wing wants to bring us all back to the middle ages.

With 50 year mortgages the average homeowner will have a whopping $300 per month toward the additional $800 per month they'll be paying in health insurance.

Oh glory days!!

And all at a cost of a mere 20 years of paying over $2000 for a total loss of $400,000.

I think disclosure requirements have helped people understand what they are signing up for -- i.e., a shocking increase in payments when the "interest-only" period ends 10 years in or so, balloon payments, and other crap.

Doing good now.

"with a fixed term of course and a big screwing at renewal". I would not be at all surprised to see it happen.

These were popular during the aughts housing bubble. Oh, and the best part is that they were marketed/branded as a "SmartLoan".

Flippers and others riding the bubble loved them (until they didn't).

https://www.thebalancemoney.com/negative-amortization-loans-315689

If you're making mortgage payments for 50 years it feels a lot like rent, except that you're responsible for all the taxes, insurance and upkeep.

are more likely to have to sell compared to if it were mortgage-free -- which puts it back on the market for the next generation of 50-yr mortgagers.

Better answers include higher wages and more affordable housing. A much higher percentage of Americans were able to afford housing in years past. Stagnant wages and increased cost of living have priced a large percentage of us out of owning homes. Then there's the fact that local governments have long encouraged building housing which is large and will bring in more property taxes.

more accessible. Your math may be right, but longer terms provide far greater economic benefit to producers and lenders than they do purchasers.

We have a class of people in the US who want something for nothing.
They never stop trying to turn citizens into suckers.
Government guaranteed, no-risk investments for them; never- ending payments for the rest of us.

You can't disregard the relatively meager rise in wages over the past 50 years compared to the rise of home costs, especially especially home cost rise in the past 20-25 years. The home price to income ratio has grown significantly over the past 50 years, and dramatically in the last 20-25 years. Many people are spending 35-40% of their income on mortgage these days.

Maybe predatory is a harsh term, but it fits our current economic system here in the US imo. And housing is a huge part -- in fact the largest -- of that system for most people. Government has a role in managing for affordable housing costs that benefit society at large, and there are means to do that, albeit means that are not favored by Republicans and many if not most centrist Dems.

For the privilege of living on this Earth

Thank you for your disgust with this matter




✌🏻

8 US houses I owned. I moved with my company every 3 or 4 years, so 15 year mortgages were excellent for me.

best decision we ever made.

We had a mortgage burning party a few years ago.
What a relief!

Instead of an inheritance you leave your children a black hole.

your kids a meaningful inheritance, for most Americans, the family home is the single largest way of doing that.

longer because they can't afford to sell. If you sell your paid-off home for $300,000, you'll pay close to that amount for a smaller home or a condo plus all the costs of selling/moving. So fewer homes are turning over to younger buyers.

In Florida, there are property tax incentives to remain in your home once you're 65 and have lived in the home 25 years. And what are the odds of a 60+ year-old buyer getting a 50-year mortgage?

And there's further fallout from that. Asset devaluation. As people age they're less likely able (physically and/or financially) to maintain the necessary repairs and upgrades, etc.

They claimed hedge funds buy a group of houses in a neighborhood & then rent most of them out, but sell a few of them for a lot over the market, to another hedge fund, thus raising property taxes in hopes of driving long time owners out.

The only outcome I see is that when "they" own it all, they'll start going after each other. We are living "the one with the most toys wins."

That’s nuts

I have a friend who bought her first house at 58. She liked moving around & not worrying about a house somewhere. She's lived in more places than anyone I know. And now she has a cat. 🐈

and it's the best thing I have ever done. I have seen many, many people lose their homes for various reasons and be out in the cold so to speak, financially because of it. So there are definitely reasons why renting can be the way to go.

And when you die, the bank gets your home, not your surviving spouse.

If you buy a home at the age of 35 on a 50-year mortgage, the loan will be satisfied when you're 85. Because no one of typical means has a retirement plan that pays him or her enough to cover house payments, you'll be working until you're 85. You'd realistically have to enter into one of these contracts when you were under 20 years old to have it paid off (assuming, of course, that you don't make extra payments and retire the note early) before you were 70. This throws two wrenches into the works: no 18-year-old or 19-year-old is in a situation where taking on a mortgage is feasible, and no bank will write one for an 18-year-old or 19-year-old.

I want to know: do these 50-year mortgage contracts include a clause that returns ownership of the property to the lender if the debtor dies before the loan is satisfied? If so, we're looking at what is not really a mortgage, but in effect a residential triple-net lease (lessee pays insurance, property taxes and maintenance) by another name.

You would end up paying as much in interest over the additional 20 year term as the initial cost of the purchase.

If you made it that far. Truly putting the “Mors” in Mortgage.

He is F’ing nuts. And definitely NOT concerned about every day Americans. Other than to pick their pockets.

for student loans until they are 60. Like the old model of the company store in the company town. It is like colonialism. 50 year mortgages rather than 30 year ones. A bad idea.

30yr loan at 4% you only pay $287,478.03 in interest over the life of the loan.