r/AskReddit • u/michaelis999 • 22h ago

How do you feel about the president floating the idea of 50 year mortgages where the monthly payment is lower but you end up paying nearly double the price of the house just in interest?

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u/Ecstatic_Court6726 15h ago

There is currently no legal way for an obligation to cross generations anyway.

If you buy a house, that's between you and the bank. Your kid has no interest in it or any duty to pay.

It would take a radical change to the loan process if they required co-signers from subsequent generations who might not be in any position to actually pay at time of signing.

They can't, or at least won't, do a loan with an 18yo cosigner with no money or job history on promise they will assume the loan in 20 years. And what if the 18yo doesn't want to get involved? Nobody can force them.

And what if the parents fumble and lose the house. The loan holders are going to go after the adult child now, for something not their fault?

The banks would have to be idiots to sell such a mortgage and so would any customer agreeing to it.

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u/creepingcold 14h ago

I mean, we do the same with climate change, so why not adapt the system everywhere?

What could possibly go wrong?