But who holds their property for 50 years anymore? Most will leave, maybe move up, maybe move due a new job... and if you do plan on staying, an extended loan may be an effective tool/strategy.
Besides, you can always pay more than you owe and reduce the time-span of your loan on your own.
But when people move, they tend to just get a new mortgage right? Maybe that one’s shorter because they’ve already paid a few years and perhaps better terms but they’re still mortgaged.
Yes! And with a 50 year mortgage, their monthly payments are cheaper.
Personally, if I could afford the 30 year, I'd still take the 50 (unless the difference in interest was substantial).
That way, I could choose to pay more, but not be forced to, in case the new job didnt work out, etc.
It just gives more leeway.
That would definitely be nice to have a bit of a safety net just in case things don’t pan out for whatever reason
