50-Year Mortgage TRAP, $2,000 Stimulus LIE and Fannie Mae's FATAL FLAW

50 Year Mortgage TRAP $2,000 Stimulus LIE and Fannie Mae's FATAL FLAW  
The housing market is standing at a pivotal, confusing, and potentially dangerous crossroads. In this 10-minute deep-dive, we cut through the political noise and unpack three massive policy shifts shaping the 2025 real estate landscape—plus how you can turn that chaos into your next big wealth move.
Policy 1: The 50-Year Mortgage Trap
President Trump and FHFA Director Bill Pulte are promoting a 50-year fixed-rate mortgage as a solution for affordability. But our breakdown shows it’s a trap disguised as help. On a $400,000 loan at 6.3%, a 50-year term only saves about $281 a month but costs nearly $426,000 more in lifetime interest—halting equity growth and long-term wealth creation. Worse, it’s not even an approved Qualified Mortgage yet, meaning legislative changes would be needed before lenders can widely adopt it.
Policy 2: The $2,000 Tariff Rebate Lie
The proposed $2,000 “dividend” to most Americans—allegedly paid from tariff revenue—is fiscal fantasy. Analysts estimate the rebate would cost $300 billion, yet actual tariff revenues fall short by over $200 billion. The shortfall means more deficit spending, not debt reduction. Economists warn it’s an inflationary loop—money printed to offset the inflation it causes.
Policy 3: The 620 Credit Score Time Bomb
Starting November 16, 2025, Fannie Mae will drop its 620 minimum credit score requirement. While the move expands credit access, it dangerously echoes 2008’s risk layering. This policy fuels demand without fixing supply—driving prices higher.
Bottom line: volatility equals opportunity. Smart investors who understand these shifts can position now—before the next wave hits.