PALM BEACH COUNTY, Fla. — A new proposal from the Trump administration is stirring debate about how to make homeownership more affordable. The idea — a 50-year mortgage loan, is being pitched as a way to lower monthly payments and help more Americans buy homes.
WATCH BELOW: 'You're probably going to end up paying higher interest,' Chuck Czajka tells WPTV
But local experts said it could come with long-term financial consequences.
In Palm Beach County, home prices are already pushing many buyers to their limits, a 50-year mortgage could help some qualify for a home, but a local finance experts said it's a decision that could keep you paying long past retirement.
President Donald Trump introduced the 50-year loan proposal this week. Administration officials said it's designed to make housing more accessible for middle-class families by stretching payments over a longer period.
"It depends on what the rate is on any mortgage, right?" One shopper WPTV spoke to said.
Meanwhile, a new national survey shows people are waiting longer to buy their first home — the median age now 40 years old.
Here in Palm Beach County, where the median household income is just under $83,000 and the median home price sits around $480,000, local buyers would need to earn well into six figures to comfortably afford a home, according to most mortgage calculators.
Some residents aren't convinced a longer mortgage is the answer.
"No, that's too long," one woman said.
"Age does play a big role," another added.
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Local financial expert Chuck Czajka, founder of Macro Money Concepts, said the concept may sound appealing but comes with major tradeoffs.
"Spanning a mortgage out over 50 years, you're basically almost talking about an interest-only loan," Czajka said. "It's going to take you a long time to create that principal and gain equity in your home — and you're probably going to end up paying higher interest."
Czajka said the real fix isn't lengthening loans, but lowering interest rates.
"When you look at a standard 30-year mortgage, you really don't start knocking out principal until year 22," he said.
While he acknowledges a 50-year loan could help younger buyers get started, he warns it could also keep many homeowners paying into their 70s or 80s.
When asked if it could help with today's affordability crisis, Czajka didn't mince words.
"My honest opinion — no. I think it's going to help the middle man. It's going to help realtors, it's going to help bankers, it's going to help mortgage people," Czajka said. "I don't think it's going to help the day-to-day person do anything other than get into a house that they're probably going to find out they can't afford."