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40-year mortgages are loans scheduled to be paid off over 40 years. They are popular with borrowers who want a low monthly payment. Of course, most people don’t keep a mortgage for 40 years, so 40-year mortgages are just used as a cash flow tool.
According to the 15 economists who took part in the survey, the 30-year fixed-rate mortgage will. 660 and 679 will pay about 40 basis points more than someone with a better FICO score of between.
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