Valuetainment "50 Year Mortgage" - Trump's RADICAL Housing Move IGNITES National Firestorm
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Nov 11, 2025 Discussions heat up around a proposed 50-year mortgage aimed at easing the housing crisis. Exploring its implications, they delve into the benefits for buyers, banks, and affordability. Historical context ties long mortgages back to FDR, while the crucial math comparing 30- and 50-year payments reveals significant cost differences. They break down what homeownership can mean for net wealth versus renting, emphasizing the growing potential in red states for long-term investments. Insights into job stability highlight when buying makes sense.
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Long Mortgages Shift Risk To Lenders
- A 50-year mortgage lowers monthly payments but shifts almost all early payments to interest.
- Banks must underwrite front-end risk tightly because little principal is paid in the first decade.
Small Monthly Savings, Big Lifetime Cost
- A 50-year loan can reduce monthly payment by a few hundred dollars on large mortgages.
- Over decades it massively increases total interest paid compared with 30-year loans.
Appreciation Plus Leverage Grows Wealth
- Real estate historically returns ~5–6% annually, compounding significant equity over a decade.
- That appreciation plus mortgage leverage can create large net worth gains versus renting.
