Want to create an interactive transcript for this episode?
Podcast: The Real Estate Espresso Podcast
Episode: Are 50 Year Loans A Good Idea?
Description: The latest announcement from the White House is a proposed 50 year amortization loan in order to improve home ownership affordability. This proposal is naturally met with criticism from all sides. The obvious advantage is that the principal portion of the monthly loan payment can be spread over a longer time period and thereby reduce the size of the loan payment. The purists will argue that the amount of interest paid over the life of the loan balloons to unreasonable numbers. Perhaps the largest criticism has been that lower monthly payments will only have the...