(11-11-2025 05:37 PM)Roxie Wrote:  

(11-11-2025 05:29 PM)DaSaintFan Wrote:  

(11-09-2025 01:49 PM)TripleA Wrote:  Video here:

https://www.foxnews.com/video/6384870387112

WHY??? I've been hearing about this all day... you save what $100 a month? and get hit with interest rates out the rear of the mortgage?

No thanky!

The big problem is. after the last housing bubble, nobody wanted to build anymore. so now there's the shortage.. as everyone notes, which leads to problem #2.. institutional buyers.

The Honest truth (and this is going to get a lot of groans...) was a suggestion i heard on the radio... let the interest rates climb back into the double digits.

We had 15% in the 80s and we still made it boom... but now if you even hint at even over 5%, the "Sky is falling, the sky is falling!" comes out.

Median home price was $68,000 in 1980 now its $426,000. Y'all could do high rates because the houses were cheap.

In 1980 a fast food worker made $3.35 an hour, now they make $15-$20 an hour. That’s essentially the same percent increase. Union auto workers have gone from $14 to $50 over the same period.

The Covid bloat from government spending is what has caused the biggest issues as home prices really shot up in 2021-23. In reality, homes don’t cost more, dollars are just worth less. Most people don’t understand that gas was more expensive in 1930 than it is today. It took 0.15 ounces of silver to buy a gallon of gas in 1930. Today it only takes 0.08 ounces to buy a gallon.

Well, Roxie just proved why she's an idiot lib. Shocked, I say.

(11-11-2025 07:18 PM)banker Wrote:  

(11-11-2025 05:37 PM)Roxie Wrote:  

(11-11-2025 05:29 PM)DaSaintFan Wrote:  

(11-09-2025 01:49 PM)TripleA Wrote:  Video here:

https://www.foxnews.com/video/6384870387112

WHY??? I've been hearing about this all day... you save what $100 a month? and get hit with interest rates out the rear of the mortgage?

No thanky!

The big problem is. after the last housing bubble, nobody wanted to build anymore. so now there's the shortage.. as everyone notes, which leads to problem #2.. institutional buyers.

The Honest truth (and this is going to get a lot of groans...) was a suggestion i heard on the radio... let the interest rates climb back into the double digits.

We had 15% in the 80s and we still made it boom... but now if you even hint at even over 5%, the "Sky is falling, the sky is falling!" comes out.

Median home price was $68,000 in 1980 now its $426,000. Y'all could do high rates because the houses were cheap.

In 1980 a fast food worker made $3.35 an hour, now they make $15-$20 an hour. That’s essentially the same percent increase. Union auto workers have gone from $14 to $50 over the same period.

The Covid bloat from government spending is what has caused the biggest issues as home prices really shot up in 2021-23. In reality, homes don’t cost more, dollars are just worth less. Most people don’t understand that gas was more expensive in 1930 than it is today. It took 0.15 ounces of silver to buy a gallon of gas in 1930. Today it only takes 0.08 ounces to buy a gallon.

While your point is valid---even in inflation adjusted dollars---its simply harder to afford a home today. In virtually every major market in the US---the median household income is insufficient to buy the median priced home. Thats simply not sustainable---and that was not the case 20 years ago----or even just a few years ago. The chart below is pretty telling. In 1985 the median home was about 3.5 times the median income---today its almost 6 times the median income. My personal opinion is we are currently in a bubble where many asset classes are overvalued and its just a matter of time before there is a correction in home values.

https://www.visualcapitalist.com/median-...income-us/

(11-11-2025 07:18 PM)banker Wrote:  

(11-11-2025 05:37 PM)Roxie Wrote:  

(11-11-2025 05:29 PM)DaSaintFan Wrote:  

(11-09-2025 01:49 PM)TripleA Wrote:  Video here:

https://www.foxnews.com/video/6384870387112

WHY??? I've been hearing about this all day... you save what $100 a month? and get hit with interest rates out the rear of the mortgage?

No thanky!

The big problem is. after the last housing bubble, nobody wanted to build anymore. so now there's the shortage.. as everyone notes, which leads to problem #2.. institutional buyers.

The Honest truth (and this is going to get a lot of groans...) was a suggestion i heard on the radio... let the interest rates climb back into the double digits.

We had 15% in the 80s and we still made it boom... but now if you even hint at even over 5%, the "Sky is falling, the sky is falling!" comes out.

Median home price was $68,000 in 1980 now its $426,000. Y'all could do high rates because the houses were cheap.

In 1980 a fast food worker made $3.35 an hour, now they make $15-$20 an hour. That’s essentially the same percent increase. Union auto workers have gone from $14 to $50 over the same period.

The Covid bloat from government spending is what has caused the biggest issues as home prices really shot up in 2021-23. In reality, homes don’t cost more, dollars are just worth less. Most people don’t understand that gas was more expensive in 1930 than it is today. It took 0.15 ounces of silver to buy a gallon of gas in 1930. Today it only takes 0.08 ounces to buy a gallon.

Dollars are worth less and the homes cost more. Gas is only one piece of the unaffordability crisis. The government spending helped achieve a soft vs a hard landing.

Quote:Published November 11, 2025 11:20am EST
Trump's 50-year mortgage may burden Americans with more debt, experts say
50-year mortgage proposal addresses symptoms but not causes of housing crisis, experts say

By Amanda Macias FOXBusiness

Economists are warning that President Donald Trump’s proposed plan to ease mortgage costs could saddle millions of Americans with longer-term debt, a short-term relief that may carry a lifetime price tag.

Over the weekend, Trump floated the idea of a 50-year mortgage in a Truth Social post. Bill Pulte, the director of the Federal Housing Finance Agency, which oversees Fannie Mae and Freddie Mac, confirmed in a separate post that the administration was "indeed working on" the new mortgage option and called it "a complete game changer."

And while Trump has pitched the idea as a way to make homeownership more attainable, experts say it addresses only the symptom, not the cause, of America’s housing crisis.

"While it might be a helpful product for some consumers, it will make housing even more unaffordable by further pumping up demand," explained Bryan Caplan, a professor of economics at George Mason University.

"If we don’t build more houses, they will stay expensive," Caplan told Fox News Digital.

Joseph Gyourko, professor of real estate and finance at Wharton Business School at the University of Pennsylvania, agreed that the real issue lies on the supply side.

"The problem is the lack of supply and the lack of supply is due to regulation, which is a way of saying it's just easy to stop development in the United States," said Gyourko.

"The longer-run problem is the lack of new building of homes."

E.J. Antoni, chief economist at the Heritage Foundation, agreed, arguing that the lasting solution is to expand housing supply rather than create new forms of financing.

"President Trump should be commended for trying to address the home affordability crisis created under his predecessor," Antoni said. "But the problem does not stem from a lack of long-term financing options. Instead, it’s a fundamental mismatch between supply and demand."

Antoni argued that the only way to bring prices down is to make it easier and cheaper to build.

"The best way to thaw this frozen housing market," he said, is to reduce government spending to relieve pressure on interest rates and roll back burdensome regulations so more homes can be built.

Yet even with greater housing supply, experts say extended loan terms could burden buyers with significantly higher lifetime costs.

Joel Berner, senior economist at Realtor.com, said potential "savings" from a 50-year mortgage could be wiped out by rising home prices.

"The drawbacks are that a 50-year mortgage results in almost double the interest payments of a 30-year mortgage and a longer path to meaningful home equity, and that the result of subsidizing home demand without increasing home supply could be an increase to home prices that negates the potential savings," Berner said.

He broke it down with a simple example. If you borrowed the same amount of money at the same 6.25% interest rate, a 50-year mortgage would end up costing nearly twice as much in interest as a 30-year one, roughly $816,000 instead of $438,000.

That’s because stretching payments over a longer time means you’re paying interest for 20 extra years, even though the monthly payments might look smaller. In the long run, you’d end up spending far more to own the same home.

https://www.foxbusiness.com/politics/tru...xperts-say

(11-11-2025 07:34 PM)TripleA Wrote:  Well, Roxie just proved why she's an idiot lib. Shocked, I say.

My mouth is agape.

(11-11-2025 02:08 PM)b0ndsj0ns Wrote:  

(11-11-2025 01:22 PM)BartlettTigerFan Wrote:  Why can't we just do the Socialist thing and give everyone a house?

When the capitalist solutions to this problem are absolutely nothing it makes people view socialism a lot more positively. The way to make socialism not be a thing is capitalism has to actually deliver for people.

It's delivered for most of the country.

(11-11-2025 01:22 PM)BartlettTigerFan Wrote:  Why can't we just do the Socialist thing and give everyone a house?

The socialist thing is putting 3+ households in one home...ain't it?

Hey, that's it! Between 3+ households they can afford a home.

My grandson at 24 bought a house and has 2 roommates to help pay the bills but he's single but not for long. Poor roommates, out they go.

(11-11-2025 07:18 PM)banker Wrote:  In 1980 a fast food worker made $3.35 an hour, now they make $15-$20 an hour. That’s essentially the same percent increase. Union auto workers have gone from $14 to $50 over the same period.

The Covid bloat from government spending is what has caused the biggest issues as home prices really shot up in 2021-23. In reality, homes don’t cost more, dollars are just worth less. Most people don’t understand that gas was more expensive in 1930 than it is today. It took 0.15 ounces of silver to buy a gallon of gas in 1930. Today it only takes 0.08 ounces to buy a gallon.

$50 an hour? What union autoworker makes that? Average union autoworker makes ~ $25/hr according to a quick search.

Also, that $86,000 house should be $338,000 in today's dollars, so the prices of homes have definitely gone up faster than inflation.

The answer is supply vs demand... we all know that more affordable houses need to be built, not more of these stupid McMansions.

Interesting thread. I'm surprised at the volume of posts.

I also don't think anybody here actually watched the video in the OP. Everybody is simply reacting to the idea of a 50-year mortgage.

They discussed most of the concerns that people are agonizing over. Also, it's nowhere near a done deal. That's why the thread title says "Trump may propose..."

This is getting pounded by both the left and right media in articles now. That's hard to accomplish.

(11-12-2025 10:52 AM)rath v2.0 Wrote:  This is getting pounded by both the left and right media in articles now. That's hard to accomplish.

Who says that Trump can't be a great uniter?

(11-12-2025 10:54 AM)mlb Wrote:  

(11-12-2025 10:52 AM)rath v2.0 Wrote:  This is getting pounded by both the left and right media in articles now. That's hard to accomplish.

Who says that Trump can't be a great uniter?

LOL!

That's pretty funny..

Sometimes an idea is just so bad it brings the entire country together.

I think it's much ado about nothing. You guys act like people are going to be tied to chairs and forced to take out 50-year mortgages against their will, lol.

If it's a bad deal, THEN DON'T DO IT.

Asbestos was a bad idea, too. Just don't install it if you don't want to!

I keeed, I keeeed.

(11-12-2025 11:07 AM)TripleA Wrote:  If it's a bad deal, THEN DON'T DO IT.

Where were you when I married my second wife?

(11-12-2025 11:50 AM)BartlettTigerFan Wrote:  

(11-12-2025 11:07 AM)TripleA Wrote:  If it's a bad deal, THEN DON'T DO IT.

Where were you when I married my second wife?

Sorry. I messed up on that one.

(11-12-2025 11:11 AM)rath v2.0 Wrote:  Asbestos was a bad idea, too. Just don't install it if you don't want to!

I keeed, I keeeed.

I'm just getting a kick out of you being so fired up about this subject. We have known each other a long time online, and I don't recall you ever getting so fired up about something.

Honestly, I thought it was kind of a throw-away thread. I just thought it was odd that Trump would even bother with the idea. He apparently thinks (or some around him think) this will help first-time buyers.

I didn't realize it was the idea from hell, especially since I will never buy another house. :)

Btw, your asbestos analogy doesn't work. If you weren't involved in building a house, you didn't get a choice about being around it, or not. With a mortgage, nobody forces you to take out a 50-year loan, even if it is ever offered.

(11-12-2025 11:57 AM)TripleA Wrote:  

(11-12-2025 11:11 AM)rath v2.0 Wrote:  Asbestos was a bad idea, too. Just don't install it if you don't want to!

I keeed, I keeeed.

I'm just getting a kick out of you being so fired up about this subject. We have known each other a long time online, and I don't recall you ever getting so fired up about something.

Honestly, I thought it was kind of a throw-away thread. I just thought it was odd that Trump would even bother with the idea. He apparently thinks (or some around him think) this will help first-time buyers.

I didn't realize it was the idea from hell, especially since I will never buy another house. :)

Btw, your asbestos analogy doesn't work. If you weren't involved in building a house, you didn't get a choice about being around it, or not. With a mortgage, nobody forces you to take out a 50-year loan, even if it is ever offered.

b/c he understands the long game and the scam ... that's why...