Exactly. And it also effectively stops the amount of equity a homeowner might build up over 10 and 20 years. This increases the chances of default and foreclosure. A 40 year mortgage is stupid. It’s a con job for homeowners.
And you think forgiving student loans is bad, just wait until there’s home mortgage forgiving.
There’s no penalty for paying down quicker. There may be a scenario here and there where you can take out a 40 year mortgage and double the payments, but there are only a few people who would actually do the math and see if it made sense. They aren’t the target market.
A 40 year mortgage is stupid. It’s a con job for homeowners.
```````````````````````````````````````````````
So is a 96 month car loan stupid, yet people are doing it.