President Donald Trump on Saturday proposed a 50-year mortgage for homebuyers.
Trump posted on Truth Social a graphic titled “Great American Presidents” with his portrait labeled “50-Year Mortgage” next to a portrait of President Franklin D. Roosevelt labeled “30-Year Mortgage.” Bill Pulte, director of the Federal Housing Finance Agency, confirmed on X that the federal government is “working on The 50 year Mortgage – a complete game changer.”
The announcement is an attempt to grapple with the rising costs of housing, which have spiked by around 50 percent since 2020, a circumstance that has created significant frustration among younger Americans in particular. The proposed new mortgage term, along with Trump’s recent announcement of an investigation into the meatpacking industry over price-fixing, suggest that the president is turning his attention to affordability and cost of living, issues which topped the list of voter concerns during the recent election.
However, the establishment of a 50-year mortgage may run into problems with extant law. The Dodd-Frank Wall Street Consumer Protection Act, which regulates mortgage underwriting, does not currently provide for qualified mortgages on 50-year terms, meaning that Trump may need to work with Congress to revise the law or convince lenders to offer 50-year mortgages under alternative terms.
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