Australians don’t do 30-year fixed home loans, but that’s not all bad

Would you like to take out a home loan where the bank can’t change the interest rate for 30 years? Americans can lock in their mortgage rates for decades, but that’s not necessarily as good as it sounds. When the Great Depression hit nearly a century ago, the US started pivoting away from variable rate home loans towards fixed rate loans. Variable rates can change based on market interest rates, whereas fixed rates remain the same over the life of the loan. The president at the time, Franklin D. Roosevelt, wanted to make homeownership more affordable. Americans can lock in their mortgage rates for decades. Credit: Louise Kennerley…