Are 40 to 50 year mortgages a good idea?
I was surprised to learn that there are 40 to 50 year mortgages being offered by some lenders. I thought a 30 year term was the longest one you could get. What’s the criteria for this and is it even wise to consider? I plan to buy my first home soon and I don’t think it is a good idea to be paying for a loan way into my 70s. TIA! by campbell605 from Chandler, Arizona. Jun 20th 2022
Joe Metzler (JoeMetzler)
#17 ranked lender in Minnesota - 4,848 contributions
I have not seen any 50-year loans, but I do see a few 40-year loans. Are they good? If you want a lower payment, sure. But in terms of the actual cost and money spent on interest? Probably the worst move a person could make. Even the 'standard' 30-year fixed is a pretty bad loan when you really do the math. Try to always stick to the shortest loan term possible. Good Luck. I lend in MN Wi IA SD ND. reach me at FirstTimeHomeBuyer-MN.com - Cambria Mortgage - NMLS 274132
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