U.S. President Donald Trump’s push for a 50-year mortgage is drawing sharp criticism from housing experts — and analysts say it’s highly unlikely Canada would ever adopt such lengthy amortization periods, especially after years of moving in the opposite direction.
While Trump has promoted the idea as a way to lower monthly mortgage payments for first-time buyers, industry observers in the U.S. and Canada say the plan comes with significant downsides. Trump floated the proposal on his social media platform, contrasting a “30-Year Mortgage” under Franklin D. Roosevelt with his own “50-Year Mortgage.” His comments were soon echoed by Bill Pulte of the Federal Housing Finance Agency, who called longer loans a potential “game changer.” The White House suggested extended amortization could ease affordability pressures.
But experts note the long-term cost to borrowers would be steep. Joseph Gyourko, a real estate and finance professor at the University of Pennsylvania’s Wharton School, said that although monthly payments would shrink, borrowers would pay dramatically more in interest over time. An Associated Press calculation shows someone buying an average U.S. home priced at $415,200 would pay roughly $389,000 more in interest on a 50-year mortgage than a 30-year one.
Because the loan is paid down so slowly, Gyourko said nearly all early payments would go toward interest rather than principal, leaving homeowners with little equity and more financial risk. He argued that the real affordability crisis stems from lack of housing supply — not the structure of mortgage loans.
Richard Kent Green, a housing policy expert at the University of Southern California, agreed that while payments would decline slightly, the savings may be minimal once higher interest rates on longer loans are factored in. He warned that extremely long mortgages slow equity building and increase vulnerability to default if home prices fall. Green called Trump’s proposal “a gimmick, not a solution.”
In Canada, the idea appears even less viable. Penelope Graham of Ratehub.ca said Canada’s mortgage system is built around risk aversion, and policymakers have spent years tightening — not extending — amortization periods. Given that direction, she said, a shift toward ultra-long mortgages is highly improbable.
