The 50-Year Mortgage Is a Trap, not a Path to Black Wealth

November 28, 2025

The Trump administration is proposing a 50-year mortgage option that proponents claim will make homeownership more affordable through lower monthly payments. However, wealth advocate Constance Carter argues this is a financial trap that would cost borrowers an additional half-million dollars in interest compared to traditional 30-year mortgages. She explains that while monthly payments decrease by roughly $265, the extended loan term means a 40-year-old buyer wouldn't own their home until age 90, essentially renting from banks for decades.

Who is affected

Working-class Black families and Black homeowners specifically
First-time homebuyers (median age 40)
Families seeking to build generational wealth
Future retirees who would still be making mortgage payments
Banks and financial institutions (as beneficiaries)
The broader American middle and working class

What action is being taken

The Trump administration is floating/proposing a 50-year mortgage option
The policy is being framed as a path to affordability

Why it matters

This matters because a 50-year mortgage would require borrowers to pay over half a million dollars more in interest compared to a 30-year loan, fundamentally transforming homeownership from wealth-building into perpetual debt. For Black families already facing a projected decline to zero median wealth by 2053 due to historical housing discrimination and ongoing systemic barriers, this policy could accelerate wealth depletion rather than create pathways to equity. The proposal would mean most borrowers pay mortgages into their 90s, making retirement financially impossible and trapping generations in debt rather than building the intergenerational wealth that homeownership historically provided to white families.

What's next

No explicit next steps stated in the article

Read full article from source: The San Diego Voice & Viewpoint