So you enter and leave a 30 year loan every four months? Aren't their costs associatied with taking out a loan? Those costs are often high enough that they make, for instance, refinancing not worth it; the monthly interest percentage saved doesn't add up to the mortgage application fees, etc.

Yes, and credit rating. I've heard that simply accessing your credit rating (for your own reference, to open a credit card, take out a loan, etc) too often makes the bureaus nervous and they hurt your score.

In short, "dude, don't do it." Crazy schemes aren't worth it. If this really WAS a hole in the system, there'd be basement enterprises of people getting each other into loans and paying themselves YSP or whatever.

Save your $$ and pay hard to get through the first half of the loan where you pay more interest than principle each month (which, oddly, isn't the case for mine.... never did figure that out).