Trump's 50-Year Mortgage Plan Draws Default Warning From Moody's Chief Economist, As Millennials, GenZ Show Strong Interest - Federal Home Loan (OTC:FMCC), Federal National Mortgage (OTC:FNMA)
Benzinga·2025-11-21 19:46
President Donald Trump‘s proposal to introduce 50-year mortgages could pose significant financial risks for both homeowners and lenders, according to Mark Zandi, the chief economist at Moody’s Analytics.Longer Terms, Higher Financial RisksIn an interview with Newsweek, Zandi pointed out that borrowers opting for a five-decade loan would struggle to accumulate equity, with most payments in the initial decade going toward interest rather than principal. He said that this could leave homeowners with minimal fi ...