Car loans have gone from 48 month payment terms to 60 months, to 72, even 120 months. Why are mortgages typically for 30 years? Do people really pay 30 years without moving to pay off the notes? Since housing prices are going up and wages aren’t keeping up, why aren’t there 40 or 50+ year mortgage repayment options to make payments more affordable? Thank you!
In: Economics
Because of interest, any loan longer than 30 years wouldn’t actually be that affordable. You’d basically be paying interest the whole time.
Latest Answers