Mailbag, incl: The pros and cons of an interest-only mortgage? March 8, 2026

Key Takeaways

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  Interest-only mortgages trade immediate cash flow for long-term risk, as borrowers build zero equity and face potential payment shocks when the principal-repayment period begins.

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  International equity exposure requires caution during periods of dollar strength, as currency conversion can erode the underlying returns of fundamentally sound foreign companies.

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  Sound money systems would fundamentally alter the value of long-term debt, making traditional fixed-rate mortgages significantly more expensive to service in a non-inflationary environment.

Episode Description

– The pros and cons of an interest only mortgage? – How do I think about international investing in the face of a higher dollar? – What happens to my mortgage in a sound money system?See omnystudio.com/listener (https://omnystudio.com/listener) for privacy information.