It’s not just about what money you have left in the short term. Financial insecurity can come from all over. If you’re on the hook for a $2M mortgage but easily

It’s not just about what money you have left in the short term. Financial insecurity can come from all over. If you’re on the hook for a $2M mortgage but easily paying it, and then suddenly there’s dot com bust or financial collapse or (a pandemic leading to a shift in how we work), then there’s a scary possibility that you’re laid off and won’t find another extremely high paying job, while your house is worth a ton less. You’re left underwater on your fancy house. All those events are highly correlated, making it a real scare. My place is worth a ton less than pre pandemic and I’m very thankful that it’s still worth more than I owe and that my job is secure. Thirty years is a long time for a mortgage, and that leads to a lot of anxiety about long term risks.