Trump’s 50-Year Mortgage Proposal Ignites Debate Over Long-Term Debt Risks

By Jim Thomas | Sunday, 09 November 2025 07:12 PM EST

President Donald Trump is advancing a federal initiative to introduce 50-year fixed-rate mortgages, sparking intense debate as Americans grapple with soaring housing costs. The proposal, presented by the administration as a solution to affordability issues, has drawn sharp criticism from conservatives and economists who warn it could trap families in lifelong debt.

The Trump administration is exploring a plan through the Federal Housing Finance Agency (FHFA) to create a 50-year mortgage option, expanding the traditional 30-year model that has dominated U.S. home loans for decades. FHFA Director Bill Pulte confirmed on X Saturday that the agency is “working on the 50-year mortgage, a complete game changer, thanks to President Trump.”

The plan aims to reduce monthly payments by extending repayment periods, potentially enabling more Americans to qualify for home purchases. Mortgage analyst John Pompliano praised the idea, stating, “The 30-year mortgage is one of the best financial products available to Americans. 50 years is even better.”

Conservative supporters argue the policy broadens personal choice and reinforces homeownership as a pillar of economic freedom. However, critics within the Republican Party, including Rep. Marjorie Taylor Greene, have denounced the proposal. “I don’t like 50-year mortgages as the solution to the housing affordability crisis,” she said. “It will ultimately reward banks, mortgage lenders, and homebuilders while people pay far more in interest over time and die before they ever pay off their home. In debt forever, in debt for life.”

Analysts at HousingWire warned that longer-term mortgages could “reduce equity accumulation and nearly double total interest costs,” while libertarian groups argued the plan fails to address housing supply shortages. Maggie Anders of the Foundation for Economic Education stated, “Young Americans don’t want to be debt slaves for the rest of their lives. We want cheaper houses, which can only be accomplished by increasing the supply through deregulation.”

Financial experts also caution that 50-year loans could strain lenders and federal agencies like Fannie Mae and Freddie Mac, potentially exacerbating systemic risks during economic downturns. Historically, the 30-year fixed mortgage became standard under President Franklin D. Roosevelt’s New Deal in the 1930s to stabilize the housing market during the Great Depression.

Housing economists note that without a corresponding increase in supply, lower monthly payments could drive up home prices rather than improve affordability. “We have affordability challenges in America, but subsidizing more demand from 30- to 50-year mortgages is not the policy we want to take now,” said HousingWire lead analyst Logan Mohtashami. “The 30-year fixed is perfectly fine as is.”

Implementation details remain unclear, with the FHFA yet to specify when or how the longer-term product might be rolled out. Expansion could require congressional or regulatory changes under the Dodd-Frank Act. Jim Thomas is a writer based in Indiana, holding a bachelor’s degree in Political Science and a law degree from U.I.C. Law School, with over 20 years of legal practice experience.