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The banks don't take the risk of offering such long-term fixed rates. The US government does through Fannie Mae and Freddie Mac, effectively subsidising the mor
by makomk 5y ago
The banks don't take the risk of offering such long-term fixed rates. The US government does through Fannie Mae and Freddie Mac, effectively subsidising the mortgage market. Other countries don't do this and don't have the same kind of long-term fixed mortgages as a result.
- jen20 5y ago> The US government does through Fannie Mae and Freddie Mac, effectively subsidising the mortgage market. For so-called "conforming" loans (647k USD this year), the equivalent of which would be enough to buy a nice house almost anywhere in the UK except London, the nicer parts of the Home Counties or the South West.
- NikolaNovak 5y agoGeebus. How did I never pick up on that juicy tidbit during 2008 coverage. That's both awesome and insane