The "50 Year Mortgage."

[Chasstev365]

Sure; what could go wrong?

Now young people making $75,000 a year will buy a 1.3 million home because it's for 50 years! Then, they'll discover they can't make their payments when the have shit or no healthcare or lose their jobs with the looming recession.

Also, banks will be more than willing to make the risky loans.

Can you say 2008 all over again?

[riverbendviewgal]

1. Yes

I see the collapse like in 2008.

[Chasstev365]

4. I hope you're right. Many banks in the 2000s made loans to people they knew should not be approved.

[snot]

12. THIS.

Most loans are quickly flipped to third parties, often rolled into a pool; in any case, the original lender doesn't have to care about the quality of the credit, because the original lender will be long out of the loop by the time any default occurs.

We've already sitting on the biggest credit bubble in history without adding even more and lower-quality debt to the situation.

What's needed is to restore labor law to what it was before Reagan, so that workers can organize to demand pay commensurate with the doubling in productivity that's taken place since then,
AND also to roll back all the income tax changes and financial deregulation that have taken place since Reagan (i.e., re- regulate, including restoring Glass-Steagall, regulating credit derivatives much more stringently, outlawing LBO's and naked shorts, etc. etc.), which have also contributed to the enormous concentration of wealth – which in turn has driven up housing prices as the obscenely rich snap up hard assets in which to park their gains.

[ret5hd]

8. would you please do the same...

for a 30 yr note (same apr, same insurance, etc)

i have a feeling there isn’t as big a difference in monthly payments between the two as some might think.

[LetMyPeopleVote]

3. MaddowBlog-The Trump White House throws its support behind new, 50-year mortgages

It’s a problem that Donald Trump suddenly endorsed misguided 50-year mortgages. How he was convinced to support the idea makes it even worse.

It's a problem that Trump suddenly endorsed misguided 50-year mortgages.

The fact that an unqualified loyalist quietly persuaded him to support the idea during a brief chat at a golf club makes the problem significantly worse. www.msnbc.com/rachel-maddo...

— Steve Benen (@stevebenen.com) 2025-11-11T18:04:44.510Z

https://www.msnbc.com/rachel-maddow-show/maddowblog/trump-white-house-throws-support-new-50-year-mortgages-rcna243259

On Saturday, Bill Pulte, the Trump loyalist who leads the Federal Housing Finance Agency, announced via social media that the Republican administration is working on making 50-year mortgages available — a move the FHFA director described as “a complete game changer.”

Two days later, during Donald Trump’s latest Fox News interview, for example, host Laura Ingraham asked whether a 50-year mortgage is “really a good idea.” The president responded as if a half-century-long mortgage was a modest change from the status quo. “I mean, you know, you go from 40 to 50 years,” the Republican said, overlooking the fact that 40-year mortgages are practically unheard of for most consumers. He added, “All it means is you pay less per month. You pay it over a longer period of time.”

The following morning, Kevin Hassett, the director of the White House National Economic Council and one of the most influential voices in Trump’s inner circle on economic policy, appeared on CNBC and touted 50-year mortgages as a “really good” idea......

But as the public conversation and political debate advances, a related question hangs overhead: How exactly did Trump come to endorse such an idea in the first place? Politico reported on Pulte’s role in securing presidential buy-in.

On Saturday evening, Pulte arrived at President Donald Trump’s Palm Beach Golf Club with a roughly 3-by-5 posterboard in hand. A graphic of former President Franklin Roosevelt appeared below ‘30-year mortgage’ and one of Trump below ‘50-year mortgage.’ The headline was ‘Great American Presidents.’ Roughly 10 minutes later, Trump posted the image to Truth Social, according to one of the people familiar, who was with the president at the time[/i].

......And therein lies the larger point. It is, to be sure, a problem that the White House stumbled into extending its imprimatur to a misguided idea on housing policy. But stepping back, it’s just as serious a problem that the White House doesn’t have a robust policymaking process in place in the first place. What it has instead are unqualified loyalists who persuade an unqualified president to embrace ill-advised policies without forethought, analysis or due diligence.

There’s no reason to expect this governing model to change anytime soon.

[redstatebluegirl]

14. They want us to be in debt until we die.

[DinahMoeHum]

5. The financial blog Wolf Street agrees. . .

https://wolfstreet.com/2025/11/11/a-50-year-mortgage-does-nothing-for-affordability-is-a-terrible-deal-for-homeowners-and-a-superb-deal-for-banks-investors/

A 50-Year Mortgage Does Nothing for “Affordability,” Is a Terrible Deal for Homeowners and a Superb Deal for Banks & Investors

Monthly payment of a 50-year mortgage of $500,000 would be only $91 lower than of a 30-year mortgage, but homeowners would get crushed by nearly $1 million in interest.

The Trump administration is proffering the idea of 50-year government-backed mortgages, like the current 30-year and 15-year mortgages. This may be a great idea for the mortgage industry, banks, shadow banks, and investors that invest in mortgage-backed securities, but it’s a very costly mortgage for homebuyers.

The small amount of payment reduction gets crushed by the huge amount of additional interest they have to pay. It would be the ripoff of the century.

etc.

[Chasstev365]

6. Thank you for sharing this!

[DinahMoeHum]

7. You're welcome. I subscribe to this blog. . .

. . .and saw it when checking my emails just a few moments before.

[redstatebluegirl]

15. They are going to convince the masses

who have very low financial IQs, that you get a lower payment. Just like buying a car, the dealership wants to talk payment, not the cost of the car.

[allegorical oracle]

10. An economist on MSNBC today said that a 50-year mortgage would mean

that consumers would pay 40% more in interest than they would pay on a 30-year mortgage. And everybody knows that the earliest payments made on a loan goes toward interest rather than the principal. So if the holder of a 50-year mortgage needed to sell the home due to a job transfer or something, they wouldn't recoup much of the cost.

[LetMyPeopleVote]

13. This is another stupid trump idea