President Donald Trump defended his administration’s proposal to introduce 50-year mortgages, brushing off criticism from conservative lawmakers and economists who warn that such loans could leave homeowners “in debt for life.”
Speaking Monday on Fox News’ The Ingraham Angle, Trump argued that the idea was simply about lowering monthly payments for Americans struggling with record housing costs.
“All it means is you pay less per month. You pay it over a longer period of time. It’s not like a big factor,” Trump said. “It might help a little bit.”
The president placed blame for today’s affordability crisis on former President Joe Biden and the Federal Reserve, citing what he called “failed rate policies” that pushed home prices to record highs.
Conservatives Push Back Against “Lifetime Mortgages”
The concept, first floated publicly by Federal Housing Finance Agency (FHFA) Director Bill Pulte, has sparked backlash among Trump’s right-wing allies.
Over the weekend, Rep. Marjorie Taylor Greene (R-GA) blasted the plan on X, posting, “In debt forever, in debt for life!” while conservative influencer Mike Cernovich mocked it as a “lifetime mortgage.”
Economists warn that while 50-year mortgages could lower monthly payments, they would dramatically extend payoff timelines and increase total interest costs. Critics say that could delay homeownership and reduce equity accumulation — key sources of middle-class wealth.
Despite opposition, the White House insists the plan is about making homeownership more accessible. “Everyone is working together to implement the president’s policies,” said White House spokesman Davis Ingle, adding that details will be released “soon.”
FHFA Working on Long-Term Loan Options
Pulte confirmed on X that the FHFA is “working on” the 50-year loan structure, calling it a “complete game-changer.” He also said the agency is exploring potential reforms to shorter mortgage terms — including five-, ten-, and fifteen-year options — though details remain unclear.
Analysts at TD Securities noted Monday that the proposal could take at least a year to implement and would only succeed “if housing supply expands.” Otherwise, easier credit could drive home prices even higher, worsening affordability.
Housing Affordability Still a Key Political Battleground
Housing costs remain a central issue as Trump shapes his 2026 economic agenda. Despite lower mortgage rates — the 30-year fixed average fell to 6.19%, down from January’s 7.04% — prices are still about 60% above pre-pandemic levels, according to Freddie Mac data.
“Fixing the supply side is far more effective than extending debt,” wrote Redfin chief economist Daryl Fairweather.
Trump’s advisers, including Treasury Secretary Scott Bessent and economic aide Kevin Hassett, say an executive order on housing affordability could be announced soon.
Meanwhile, analysts say the plan could benefit mortgage firms like Rocket Companies, Ellington Financial, and United Wholesale Mortgage, which stand to gain from new loan products.
Still, with homeownership already out of reach for millions, critics warn that extending debt isn’t a fix — it’s a delay.
