LOUISVILLE, Ky. (WDRB) -- As home affordability continues to squeeze American buyers, a new idea is getting national attention: a 50-year mortgage. Supporters say the extended loan term could make monthly payments more manageable — but experts warn the long-term costs could be staggering.
Mortgage rates remain high heading into winter, and the housing market has slowed significantly despite slight rate drops late in 2025. First-time buyers, in particular, have struggled. Realtors say the competition and high prices have kept many young couples out of the market.
President Trump has floated the idea of offering 50-year mortgages as a way to boost affordability. According to Fortune magazine, stretching payments over five decades could save the average homeowner about $119 a month. Experts say it could be especially appealing for people buying starter homes they plan to sell within five to ten years.
However, consumer analysts warn the savings may not be worth it in the long run.
Economists say extending a loan to 50 years would dramatically increase the total interest paid. Fortune found that a $500,000 home financed at 6.1% interest could rack up $1 million in interest over the life of a 50-year loan. In many cases, buyers could still be making mortgage payments into their 80s.
While lower monthly payments may help more people break into the housing market, financial experts caution that the long-term costs could outweigh the benefits.
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