General Discussion

Lenders are going to decide what to do, based on their own calculations.

Another thing a 50 year mortgage does is keep the homebuyer under water for a longer period. That is not a good thing if you are the lender. Especially if real estate markets take another setback, like they did a few years ago. Banks don't want to foreclose on homes that are have no positive equity. They also won't refinance houses that are underwater. It's not good business.

So, Trump can't tell banks they must make 50 year loans. He can tell them that it's OK to do that, maybe, but not tell them to.

Banks are always skittish about long term-lending. And when banks get skittish, the interest rates go up.