This broke my brain a bit. Chart shows a typical $500K mortgage at 8% fixed. You’re mostly paying interest for decades. Equity only kicks in the last 7–10 years.

Total paid: ~$1.2M. Interest alone: ~$700K.

I get its pros but levering up into an illiquid asset in a post-ZIRP world .. ??

Pls help me make sense why this is sold as the safe and very normal thing to do.

Inflation was the first thought that comes to mind and it seems like it softens things quite a bit (TIL Fisher equation)

Founder, designer, & product guy at /basepaint and /eigenlayer

That + interest rate deduction drops it further to about 2.9%

It objectively is but idk, last forced move was hard on the family and made me think the intangibles (stability and predictability) might be worth the premium.

But idk, I'm still a renter. It's hard to gin up the conviction it's a good play.

it changes the numbers sure but the whole thing still seems too wild to be labeled normal. signing up for what is effectively a life time debt commitment for the avg home buyer. 

rent, save, invest seems to me more sound.