Exactly this, monthly payment bros (people who think only in payment terms) will just buy increased prices to the point that the 50 year bet against the dollar barely pays out. It'll all be priced in seconds after it is made official.
Current houses will be even more out of reach, boomers and banksters even richer.
Anyone who thinks this is a choice is missing the point. Because of how the average person thinks, and how the market works, a 50 year mortgage will absolutely fuck any chance of a good 30 year mortgage now.
If this goes through, we'll very shortly be yearning for the "good old days" of a 30 year mortgage.
Just like how almost no one buys homes outright anymore, or gets a ten year mortgage or anything. Those aren't things anymore, by and large.
The average mortgage duration is 30 years. The new average will be 50. We're all fucking fucked.
And the really infuriating part is that they could release pressure on the housing market tomorrow if they actually cracked down on illegal immigration. They are doing this in part so Trump can avoid keeping another separate promise he campaigned on.
We're getting fucked so hotels and farmers can pay below market for their labor, since all that labor needs to live somewhere.
Aren't they? I was, and still am, offered a 15 year mortgage on my home both on the buying and currently on the possibility of a refinance. If I had a job paying like 10$ more an hour I'd take it even, because it has a much lower rate.
I'm not disagreeing with you guys that 50 is a bad thing, but 15 year ones are pretty commonly available and people just don't do their research to look into getting one because "lower monthly payment" is basically the only thought process people have when buying. The guys financing you aren't going to remind you of the option that loses them a lot of money.
I bought mine about two years ago, when it was at the peak of its retardation, and the option was there and incredibly tempting but just out of reach of my budget.
If I had been a few years earlier and bought during that 2% time frame, it would have been an easy choice.
Well, if the home price is inflated by 300% then you usually can't afford a 15-year. Lol. And what do longer mortgage terms do... inflate the price of housing.
I'm not disagreeing with all the problems, only with his assertion that they don't exist anymore. They absolutely do, people just don't ask or look for them because they simply ask around for lower monthly payments to the exclusion of all possibilities.
Exactly this, monthly payment bros (people who think only in payment terms) will just buy increased prices to the point that the 50 year bet against the dollar barely pays out. It'll all be priced in seconds after it is made official.
Current houses will be even more out of reach, boomers and banksters even richer.
Yup. Very sad, and I'm absolutely enraged.
Anyone who thinks this is a choice is missing the point. Because of how the average person thinks, and how the market works, a 50 year mortgage will absolutely fuck any chance of a good 30 year mortgage now.
If this goes through, we'll very shortly be yearning for the "good old days" of a 30 year mortgage.
Just like how almost no one buys homes outright anymore, or gets a ten year mortgage or anything. Those aren't things anymore, by and large.
The average mortgage duration is 30 years. The new average will be 50. We're all fucking fucked.
And the really infuriating part is that they could release pressure on the housing market tomorrow if they actually cracked down on illegal immigration. They are doing this in part so Trump can avoid keeping another separate promise he campaigned on.
We're getting fucked so hotels and farmers can pay below market for their labor, since all that labor needs to live somewhere.
Aren't they? I was, and still am, offered a 15 year mortgage on my home both on the buying and currently on the possibility of a refinance. If I had a job paying like 10$ more an hour I'd take it even, because it has a much lower rate.
I'm not disagreeing with you guys that 50 is a bad thing, but 15 year ones are pretty commonly available and people just don't do their research to look into getting one because "lower monthly payment" is basically the only thought process people have when buying. The guys financing you aren't going to remind you of the option that loses them a lot of money.
I have a 15-year, but I bought before the market went total retard.
I bought mine about two years ago, when it was at the peak of its retardation, and the option was there and incredibly tempting but just out of reach of my budget.
If I had been a few years earlier and bought during that 2% time frame, it would have been an easy choice.
Well, if the home price is inflated by 300% then you usually can't afford a 15-year. Lol. And what do longer mortgage terms do... inflate the price of housing.
I'm not disagreeing with all the problems, only with his assertion that they don't exist anymore. They absolutely do, people just don't ask or look for them because they simply ask around for lower monthly payments to the exclusion of all possibilities.
I got a 15 year mortgage in 2021 at a 2.3 interest rate and I feel like I jumped into the last lifeboat off the Titanic.