damn these sociopaths..........

Of course that went nowhere. And yes, sociopaths.

You won’t ever really OWN your home but be a lifetime renter dressed up in fancy gold

It’s kind of like Raygun selling the idea of putting the so-called “American Dream” on a credit card instead of being able to afford that lifestyle with cash. We are being softened to accept a lifetime of debt.

Yet another plan to destroy the middle class.

the higher equity that a home would have had when the last owner died.

This does suggest another thing to think about. In 2008, one of the worst parts of that crash was that it led to many homes being financially underwater as the value dropped below the owner's equity. In some vulnerable communities, this was a vicious circle as more homes in a neighborhood became unaffordable to their owners, the lower the value of all homes became with more becoming underwater. (If a home is financially underwater, selling your house leaves you without a house and still in debt for part of the mortgage.)

Then imagine it was because Wells Fargo intentionally misapplied your payment and there’s nothing you can do about it because Trump got rid of the CFPB.

They were intergenerational. Of course all of the homes were constructed of concrete blocks and cost a fortune even then, but you knew they would last that long, unlike a lot of the housing in North America.

Your great-grandchildren have to finish paying it off (then of course, there's the fight over the property.) But actual houses in Japan are so scarce that buying one is a pipe dream for most folks.

Someone please tell me which of the homes produced by any of the national builders of cookie cutter homes would still even be standing after fifty years.

I’ll wait…

How many houses would even last half a century and be worth anything?

That's how I became a homeowner as a single woman with no dependents. In the 1990's it was difficult for an unmarried woman to obtain a mortgage unless it was co-signed. (I was 40 years old and I wasn't about to ask my Dad to co-sign on my mortgage!) Even having a down payment and steady fulltime employment wasn't enough. But the FHA mortgage program allowed me to purchase my house with a 30-year mortgage, and now it has been paid off in full. I had reasonable monthly payments and escrow for collecting property taxes and insurance in a withholding account. Homeownership would never would have happened for most Americans, without the blessings of the FHA program.

my then hubs wasnt making that much money when we bought our 2 flat. we barely made the downpayment of 3%. in fact, we lost (got screwed out of) our lock and had to beg his parents for an extra $2500 at the last minute.
in his next job, he climbed the ladder. went on to make crazy money.
he got big bonuses. we applied most of that to our mortgage and paid it off in about 15 yrs.

these new loans make u pay 3 times as much for your house. insane. it’s bad enough most of us pay twice as much.

It’s estimated that 40% of single-family residential rental housing will be controlled by private equity by 2030.

Housing should not be a financial commodity bundled into investment products to the advantage of the investor class.

Along with Zero down. Housing prices jumped by double digits because buyers could suddenly qualify for much more debt.

Horrible idea.

What the hell did they expect would happen?

What is happening here? The Trump administration has lost their minds. We are not going to get anything good from this administration. Trump has always been a landlord, and a corrupt one at that. These people are as shallows as those who elected him.

always being in debt. Dying before you own.

And thrown in a little adjustable variable rate for good measure

That the feature and most certainly not a bug

You always have to work with no hope at all for anything at all.

I think of the ending of 1984 with William Hurt. He’s just resigned to it all and goes all in for big brother

The people, (billionaires) who dream these schemes up should be pulled from their homes and thrown in a pen to hungry hogs.
Wouldn’t that be a fitting end for them?

You will never own your home. It will own you. And the bankers will have steady income forever.

I studied corporate finance and spent my working life finding financing. Many bankers weren't too smart. Just sales people.
Trump is all sizzle and no steak.

(I haven't calculated it yet, but it will be FAR greater than a 30-year loan.)

What would happen is parents would buy a house as a young family and hang on, making payments for the rest of their lives. Children inheriting the house after parents are gone and still owing a huge chunk of the principal. How many children even want their parents' homes, anyway? Most kids would have moved out long ago to pursue their own dreams.

And what about the case of divorce? One of the partners would be saddled with way too much debt and lose the house, while the other partner walks away. This is unworkable for most American families.

Interest only mortgages or this?

Yes, interest only mortgages are a thing.

I remember Trump trying to sell 100 year maturity bonds that paid nothing til year 100. They were for his casino, The Taj Mahal! He likes stringing along repayment of anything!

if you make an extra principle payment every mo, even a small 1, u shorten your repayment by A.LOT.
esp in the early yrs. if only $100 goes to principle, and u pay an extra $100, u just knocked a payment off the end of your loan.
$10, $50/mo, every mo, greatly shortens your loan.

always do what u can to fuck the bankers.

I also accelerated payments on 60 month auto loans in the past and paid off a car in 49 months. I still have it and now that I am retired I plan on keeping it for a while. These new car prices are insane.

and paid a 72-month loan in 8 months. Before I had the payment booklet from the lender, I had one-fourth of the principal payments made; that knocked about $4500 in interest off the loan total. This is the way to do it, folks! The interest you save looks a LOT better in your pocket than in the bank's!

... rounding up on our mortgage payments from $1200 to $1500 each month and throwing in other payments when possible (tax refunds, gift moneys, etc) and paid off a 30-year mortgage after 17 or so. We refinanced a couple of times in there too to keep the interest rates as low as possible.

Saved tens of thousands over the life of the loan, maybe hundreds of thousands. Can't remember the math. But it was worth it without hitting out standard of living too much.

I recommend it if you can.

A guy who lost ALL of daddy's money appearing to playing it straight, and is rich* today through graft, money laundering, and spewing bullshit at unsuspecting rubes.

* He's in debt up to his eyeballs. And not counting the really shady, off the books stuff that, had he not won in 2016, could have landed him in some unmarked hole somewhere. Steal from certain guys and you get "Disappeared" Hoffa style. The ultimate "repo."

is that you pay interest for 50 years!

Debtor's prison.

The giant corporations get your house AND they get to bill the government $150 a day for your prison cell.

as our life expectancy decreases (inevitably = 3rd world conditions lead to actuarial results.)

or maybe they just want to repossess.

Maybe, I'm wrong.

but more importantly switched from 30 year to 15 year. Best financial move I ever made. Payment went up monthly of course, but only by about 18% all told. And I went from just under 1/3 of my payment going towards principal to just over 2/3 every month. Which is obvious that would happen if you halve the time and lower the rate but man it is so much more satisfying at the end of the year when the principal really feels like it's dropped. And of course that % drop in principal keeps increasing as the amount owed (and hence the % going to interest each month) decreases.

Back of napkin calculation is that during the first 5.5 years I owned the place, my balance reduced by not even a full 10% and in the 5 years since the refi, it's dropped like 27%.

What I'm saying is I can't even imagine how frustrating a 50 year mortgage would be to hold. Your payment is probably like 90-95% interest for many years I have to think.

Are we great yet?

Oh and you wimmins better start having more babies!

Lower the monthly payment but extend the note. It's what you get when wages don't keep pace with inflation or the marketplace.

Without any sort of financial planning/training, all folks see is that monthly expense. I've proposed some sort of personal finance class as a mandatory pass/fail starting in the 7th grade, but that would make too much sense.

He taught his kids about budgeting, loans, mortgages, etc. School principal told him there isn’t enough time in the school year for those kind of lessons. Stick to your pre-ordained requirements.

Bless your husband.

Let's bring back debtors prisons while we're at it! 🤨

Would be bankrolling the upper 40% who could qualify for a loan

The 60% of us that don’t have that lil cushion work 2 weeks of the month for rent and neither party seems to remember we are down here

It is the middle class and rich who would mostly fund those down payments.

"Neither party seems to remember we are here" is bothsiderism, a right wing talking point, and just plain wrong. The Democratic Party is fighting for the working poor and is trying to save the ACA subsidies for the working poor, and the Republican Party would rather keep the country shut down and defund SNAP than help the working poor have health coverage. That is why we are in a shutdown. The Democratic Party knows we are "down here" and is trying to raise us up. It would be nice if we Democrats had your support.

51- 14 ( standard deduction) = $36,000 ish

Tax rate 10% /12% or just less than 4 grand income

I’m sorry you feel the need to insult me

Ergo, less principal paid for years … making anyone under that onerous burden have less equity

Give this two thumbs up.

Sure, not at 6% but definitely @ 3%. Your paying back a mortgage in 2076 with dollars valued in 2026. Inflation means your paying back with much cheaper money. Think about the price of things 50 years ago including the price of homes. In 1975 you could buy a 3 bedroom 2 bath home for under $30,000 which is now worth $750,000 more or less depending on location and condition.
So if you buy that same home today and use a very conservative estimate of 2% inflation your home might be valued at about $4,000,000 in 50 years.
Nobody says you have to take 50 years to pay it off. The interest is only charged on the principal balance. You could still pay it off in 30 years or less. The 50 year mortgage just helps you qualify at a lower monthly payment because it's stretched out over 50 yrs.
But there is no way a lender will make a 50 year loan @ 3%. But maybe %3 the 1st 5 years 3.5% for the next 5yrs, eventually ending up @6% for the last 10 years with the opportunity to refi at a lower rate in the future if lower rates are available.
I started @ 6.5% 28 years ago and now I'm locked in @2.9% for 27 more years. I'm paying with cheaper dollars. It's the one benefit of inflation.
Rich people never use their own cash if they can help it. Let cheaper borrowed dollars pay your bills. I plan on dying owing money on my home.
I am a retired Realtor after 27 years in the industry.

Why endure the costs and risks of home ownership, when all you're doing is working your entire life to make the owners of the bank even wealthier than they already are?

People would be saddling their children and grandkids with their debts, since a 50-year mortgage would outlast the life of the parents in most cases. How many children want to live in their parents' house? Very few since most have moved out long ago to pursue their own dreams and careers. How many marriages last 50 years these days, when so many end in divorce and one partner getting the house. One partner would be saddled with way too much debt and probably lose the house, while the other partner walks away.

I can't see 50-year mortgages ever being a workable deal in the US.

We have lived in our home for 28 years and to this day, it's just an investment. That statement is true but it's to illustrate my perspective.
As a child we moved alot. I went to 11 different schools before high school. We moved because rents would go up or we couldn't pay the rent or we hid from bill collectors. Sometimes our belongings were put out at the curb, sometimes our pets were put out before we got home so, I don't get attached to things.
On the other hand we as a family, my wife and daughter, have made very good memories everywhere and all of the time. That is irreplaceable. That is the only thing I will take with me on this earth and what I leave behind. Sure my family is well taken care of financially, free to do what they want with anything I've left behind.

In direct response to your response, rents go up, period. A renter is at the mercy of a landlord and whatever the current market dictates. I refied my home a few years ago with a no cash out 30yr loan @2.9%. I say this not to brag but to show another possibility. The mortgage payment is low enough to make double in rent if I choose to and yet with enough equity to pull substantial funds out if needed. A 50 year loan is not a curse, it's an opportunity. You, the consumer can choose other options.
A longer loan just gives you choices. It's kind of like a college education. I taught my daughter that a PhD. doesn't guarantee a job or higher pay. What it does is give you more choices.

You can choose to payoff the loan in 30 years if you choose to, in which case you save all of that interest that you might have paid. No harm no foul.

Even in central Illinois there are lots of 2-5 million dollar homes being built, a longer loan timeline doesn’t seem unreasonable and you can always pay early which saves a ton of money on any loan

... hurricanes -- insurance for home purchases is harder to come by, right?

Or is Trump going to poop out an idea to fix that too?

If I ever can afford to buy a car, one of the requirements will be that I can use it to stealth camp in. But the way things are going, more likely is a quick and violent end to civil infrastructure and life as we know it.