Trump's Mortgage Plan

See omnystudio.com/listener for privacy information.

Episode Transcript

Speaker 1 (00:00):
Boston's Bulldozer operate seven days a week. The Kuner Report
weekend edition, WRKO The Voice of Boston.

Speaker 2 (00:08):
Should we have fifty year mortgages? Trump and his economic
inner circle are now giving it a serious hard look
to deal with the affordability crisis. It would clearly lower
monthly payments by about two hundred, maybe even two hundred
and fifty dollars every month. But man, you'd be paying
for it much longer, obviously, and the interest you'd be

(00:34):
paying interest through the nose. So in the end, is
it really worth it. Let's go right back to Tanya
in Boston. She is talking about when this was about
maybe twenty years ago. She was a student, had two
hundred thousand dollars in debt, basically had about one thousand
dollars to her name. They said to her, you've got

(00:55):
to become a homeowner. That's the best way for you
to advance. So so she took out a loan and
then we had to get we got a heartbreak, We
had to go Tan, you please pick up where you
left off.

Speaker 3 (01:09):
So I got the loan. I had a point to pay,
and prior to owning the house, I owed about thirteen
thousand dollars in taxes. When the year went by and
I had this loan, it was like a break even
for me because when I did my taxes with the house,
now I had something to my name, and I got

(01:30):
about sixteen thousand dollars back from all the interests I
had paid with this loan. But the fine print of
this loan is what a lot of people didn't read.
You can't You couldn't stay in those loans. You had
to refinance. So I ended up refinancing three times. So
the second time I refinanced, I refinanced to get rid

(01:50):
of the points, and then the economy was, you know,
the bubble was bursting, the things were starting to settle down.
And then the following year for those taxes, I still
got about sixteen grand back. And then the third time
I refinanced was to get a better interest rate, and
then I stayed in that loan. But I can understand

(02:12):
why they want to do this fifty year mortgage because
I'm in the same predicament right now in a little
bit different scenario. We are currently in a house and
I have a seven to one year arm, and that
arm is going to expire this coming August, we're trying
to get a house edition. We have not moved forward
yet because the interest rates are like six percent and

(02:37):
my seven to one year arm is at an interest
rate of three percent. So right there, once I refinance,
it's going to double my payments, my payment amount, and
then if I want to add the addition on top
of it, we're looking at like three times the amount
of money that we're spending per month. So for me,
I think if you're thinking, if you're talking about the

(02:59):
fifty year, I can put kind of a positive spin
on this. It depends on the mentality that you're going
to use a fifty year loan. So when I heard
you say it on a radio today, I immediately text
my husband, like, they're going to do a fifty year alone.
That's our win because we can get in it. And
it depends it really depends on what the what the

(03:19):
fine print of that fifty year alone.

Speaker 2 (03:21):
Hear you and Tanya, I think what you're saying is this,
use the lower monthly payments to your advantage, and obviously
don't stay in it for forty fifty years, right because
then the interest, you know, just kills you over the
long term. But if you're smart. Use those lower monthly payments,

(03:42):
add some equity to the home, let it build up
a little bit, and then get out and buy something,
say with a lower a thirty year or twenty five year,
or a better home or better interest rates. In other words,
use it as a means to an end correct, not
as an end in itself.

Speaker 3 (04:04):
Plan on moving out of this house after we do
the addition we plan, so my goal would be to
keep the same monthly payment that we're paying right now,
and if we get into that fifty year, it's literally
going to cut our payments into a third and just
pay three times the amount of that. But if you
get to a point where, oh my god, I can't

(04:26):
make that payment this month, then guess what. You're not
in the squeeze where you have a high interest and
a high monthly payment that you have to pay it,
you know what I mean. So, like, if you have
one month that it's like, Okay, I really can't afford
to pay three times the amount of the mortgage payment
that I'm paying. You don't have to because your payment
now is only eighteen hundred dollars. But normally my mentality is, no,

(04:50):
we're going to pay four thousand dollars a month on
this and get this thing paid off faster. But we
now have a little bit of wiggle room.

Speaker 2 (04:57):
Interesting, oh, interesting, interesting, Tanya. Do you think part of
it is leave aside now the fifty year mortgage that
Jerome Powell is just keeping interest rates way too high?
This is just literally one of the main reasons why
the housing market is flat on its back and why

(05:19):
the economy is just not taking off the way it should.

Speaker 3 (05:25):
Wrong that one person has the control of the entire
United States, and I think he's just doing this despite Trump,
and it really irritates the crap out of me because
he's really making everybody squeeze, and he's just going to
do that until he's out. And I think that's wrong
that someone can corrupt the system that badly.

Speaker 2 (05:45):
And with you, I'm so with you. I'm so with you, Tanya.
Thank you so much for that call. Look, that's why
I know it would have been very controversial. But if
you remember months and months ago, I said, fire him,
fire him. I think it's outrageous. You're right that the
chairman of the Federal Reserve, one man, unelected, unelected, remember this,

(06:09):
and ultimately unaccountable this man has that much power over
the economy, over the country, over our lives. I mean, look,
Grace is a real estate agent. Okay, my wonderful wife,
She says, do you know how many deals are just
sitting there? Homes are you know? You know, people are
ready to buy homes, to sell homes, to build homes,

(06:32):
and they're just looking at the rate. They're looking at
the interest rate, and there's they're waiting for Powell to move,
and the guy just won't move. I mean, I know
he did a small cut, but basically the interest rates
have to come down much more. It's so obvious, and
so one man is clogging up the entire economy, and
simply because he wants to hurt and obstruct Trump. It's

(06:55):
so obvious. No, I'm with Tanya all the way. T
one seven, two, six, six, sixty eight, sixty eight. Would
you get a fifty year mortgage?

Speaker 1 (07:08):
You're locked into Boston's bulldozer. The Kooner Report Weekend edition,
The Voice of Boston WRKL