Trump Cancels Mortgage Plan?
The Trump administration is signaling a change in direction on housing policy as it looks for practical ways to improve affordability for American families.
Federal Housing Finance Agency Director Bill Pulte said Friday that the White House appears to be moving away from the idea of offering 50-year mortgages, a proposal that had been discussed as one possible tool to lower monthly housing payments.
When asked whether the plan was still being considered, Pulte told reporters, “I think we have other priorities.”
Focus Shifts Toward Homeownership Access
The comments follow recent statements from Donald Trump, who has emphasized restoring affordability as a central goal of his second term.
In a recent Truth Social post, Trump argued that single-family homes should primarily serve families rather than large financial interests.
“People live in homes, not corporations,” Trump wrote, while again pointing to inflationary pressures that accelerated during the previous administration as a key factor behind rising housing costs.
Institutional Investors in the Spotlight
Large investment firms — including private equity groups and hedge funds — have increasingly faced criticism for purchasing homes in bulk. Critics argue this trend reduces available inventory and contributes to higher prices for both buyers and renters.
According to data from the American Enterprise Institute, institutional investors defined as owning 100 or more properties controlled roughly 1 percent of the nation’s single-family housing supply as of mid-2025.
Pulte clarified that any forthcoming executive action would not require companies to sell homes they already own.
“There will be no forced sales,” he said.
Instead, the administration is examining ways to limit future purchases of single-family homes by large institutions.
“What we’re trying to do is protect the American dream of homeownership,” Pulte explained. “We don’t want that dream shifted from families to corporate balance sheets.”
He added that this approach is only one option among “30 to 50 different ideas” currently under review.
Possible Policy Announcements Ahead
Pulte also indicated that President Trump could outline several housing-related initiatives during upcoming international meetings, including the World Economic Forum.
Backing away from the 50-year mortgage proposal represents a notable change. Just months ago, Pulte publicly praised the concept after Trump referenced Franklin D. Roosevelt, whose administration helped establish the 30-year fixed mortgage during the Great Depression — a move that dramatically expanded homeownership in the United States.
Experts Urged Caution on Long-Term Loans
Housing analysts have raised concerns about extending mortgage terms beyond 30 years, warning that while monthly payments might appear slightly lower, borrowers could face substantially higher interest costs over time.
Those concerns were echoed last month by Housing and Urban Development Secretary Scott Turner, who said additional research would be needed before pursuing such a policy.
For now, administration officials say the priority is finding realistic, market-based solutions that help American families compete for homes — while ensuring long-term financial stability for buyers.
