Tremors: The End of the 30-Year Mortgage?

The very fact that this conversation is being discussed is significant.



It appears to me that there is an unreasonable emphasis placed on home ownership rates. If we look at Spain, which is of the poorest of Western European countries, it has a home ownership rate of 85% compared to our 67%. Clearly, we can't use it as an absolute benchmark of prosperity.

However, I do think that shorter mortgage terms would be more advantageous. Although, due to the higher payments associated with the shorter term, it would force buyers to save more for down payments prior to making a purchase. Very interesting discussion. I do think government needs to get out of the housing business.