The Ramsey Show Highlights Trump's 50-Year Mortgage Plan
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Nov 15, 2025 Dive into the debate around Trump's controversial 50-year mortgage plan. Explore whether this proposal truly makes homes more affordable or simply prolongs debt. Discover the risks of minimal equity growth and potential pitfalls for homeowners. Dave Ramsey emphasizes the long-term costs that benefit banks and builders at the expense of buyers. He advocates for a 15-year mortgage as a better alternative to avoid heavy interest and achieve financial freedom sooner. Plus, hear about practical policy suggestions to aid the housing market.
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Long Loans Inflate Total Interest
- A 50-year mortgage lowers monthly payments only slightly while vastly increasing total interest costs.
- Stretching a $450,000 loan to 50 years can push interest paid to over $1,000,000 versus ~$547,000 on 30 years at the same rate.
How The Idea Went Public
- Dave recounts President Trump posting a comparison image of FDR and a 50-year mortgage plan on Truth Social.
- He explains Bill Pulte reportedly pitched the idea at Mar-a-Lago using a poster board and Trump shared it publicly.
Equity Builds Extremely Slowly
- 50-year loans are extremely front-loaded with interest so borrowers build almost no equity for decades.
- On a 50-year mortgage it takes nearly 40 years to pay more principal than interest, while homeowners average ~11 years in a home.
