A top Trump administration housing official has signaled that the president’s 50-year mortgage proposal is not ready for immediate rollout, stating that the administration is still conducting research into the viability and risks of the extended loan terms.
Department of Housing and Urban Development (HUD) Secretary Scott Turner said during a Fox News interview Sunday that “more research needs to be done” before the policy could potentially be implemented, describing the 50-year mortgage as one of several ideas “on the table.”
The cautious tone from the Cabinet-level official represents a significant pause on one of President Donald Trump’s few concrete housing policies.
While Federal Housing Finance Agency Director Bill Pulte has touted the idea as a potential “game changer” to slash monthly payments, borrowers could end up paying nearly double the total interest compared to a standard 30-year loan, some experts caution.
And homeowners could face a pronounced “equity trap.” According to a UBS analysis, borrowers could own as little as 4% of their home after a decade of payments with a 50-year mortgage — and just 11% after 20 years. That compares to a typical 46% equity stake in year 20 with a 30-year mortgage term, per UBS.
The initiative was initially championed by Pulte in a social media post last month as a “potential weapon in a WIDE arsenal of solutions” he said the administration is developing to lower barriers to homeownership. Trump defended the proposal in a subsequent Fox News interview, arguing that the primary goal is to reduce monthly mortgage obligations.
“All it means is you pay less per month,” Trump said.
However, the proposal has drawn skepticism from economists and industry experts, who warn it could further inflate home prices by artificially boosting demand without addressing supply problems. Critics also argue that the slow equity buildup could lock buyers into debt for most of their lives.
Turner’s insistence on further review suggests the administration is sensitive to these concerns.
“It’s very early,” Turner noted, emphasizing that the president and other leaders will ultimately discuss the “best possible path” to secure homeownership.
