People don’t realize that the only reason the mortgage rates are low is that it is the Federal Government’s money being lent. Virtually every mortgage is purchased by Fannie Mae or Freddy Mac. Banks are merely acting as loan agents.
And all this additional debt is off the books and not considered a part of our National Debt.
We are in far worse shape than people are aware.
No bank would lend 30 years at 3% to 4%.