The Pros And Cons Of A 50-Year Mortgage

• November 12th

by UrbanTurf Staff

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The idea of a 50-year mortgage is generating plenty of buzz — and debate — in housing and policy circles.

Floated recently by Donald Trump as a way to make homeownership more attainable, the proposal would stretch the standard 30-year mortgage out by two decades. The logic is that the longer loan terms would mean lower monthly payments, allowing more buyers to qualify for homes in a market where affordability has been crushed by high interest rates and record prices. 

On paper, the numbers do offer some relief. Extending a loan to 50 years could shave hundreds of dollars off a monthly payment compared to a traditional 30-year term, depending on the home price and interest rate. That lower monthly cost could make a major difference for households in high-cost regions like the DC area, where the median home price now tops $600,000. For some buyers, particularly those with steady income but little savings, the 50-year option could mean the difference between renting indefinitely and owning a home.

But critics say the plan comes with major long-term tradeoffs. Stretching a mortgage to 50 years dramatically increases the total interest paid over the life of the loan — in some cases, nearly doubling it. It also slows down the rate at which homeowners build equity, meaning owners could spend decades with little ownership stake in their property. Housing economists warn that the proposal does little to address the underlying causes of affordability — namely, a shortage of homes for sale and rising construction costs. By making it easier for buyers to qualify, they argue, the program could actually fuel further price increases unless paired with aggressive efforts to expand housing supply.

In short, the 50-year mortgage may offer short-term relief for affordability but long-term challenges for financial stability and wealth building. For markets like DC, where first-time buyers are getting older and prices continue to outpace incomes, the appeal is understandable. Still, experts caution that without broader housing reforms — including zoning changes, faster permitting, and more investment in new construction — extending the mortgage clock another 20 years may only delay, rather than solve, the affordability crisis.

This article originally published at https://dc.urbanturf.com/articles/blog/the_pros_and_cons_of_a_50-year_mortgage/24059.