Ouch! Yep, but the truth is most people taking 400k mortgages can’t even afford them anyway. A 400K 30year fixed at 6% mortgage and 12K property tax’s cost like 3500 a month and that’s just your house payment, so many of these people have BMW car payments, RV payments line of credit and credit card payments, why give someone a 400K mortgage they can’t afford.
Someone deserving of a 400K mortgage should have a minimum income of 225K Gross to qualify. (IMO)