Can a 50-Year Mortgage Fix Housing Affordability? The Data Says Mostly No

Jessica Share

Last Updated: Dec 4, 2025
14 min read

Longer loan terms could open the door to home ownership for 1 in 85 renters in America’s 100 largest cities, but not all will benefit equally.

We did the math. A 50-year mortgage term could reduce monthly payments by an average of just ~$84 while ballooning interest by an extra ~$561K on an average home in each of America’s 100 largest metros. That’s a controversial proposition.

Nevertheless, at the end of that lengthy term, buyers would own their own homes. And that can seem like a better deal for millions of renters who currently see 0% of their monthly payments converted to equity.

We wanted to know where the 50-year mortgage (plus property taxes) would lower monthly expenses enough to get more Americans into their own homes, dropping the monthly cost of home ownership below 30% of total monthly income.

Because monthly payment differences are slight, we found that there are just 10 cities where a significant number of renters could choose homeownership under the new plan and come out ahead on monthly expenses.

Key Takeaways

1.17% of renters in America’s 100 largest metros will find themselves newly able to buy with the option of a 50-year mortgage. That’s 366,213 by our calculation.
Lakeland, FL, is the only city where more than 2% of renters stand to benefit, about 1,745 renters. While NYC (0.53%) and Dallas (1.62%) would each see about 18k of their renters benefit.
Who doesn’t benefit? Renters in these eight metros: San Jose, San Francisco, Honolulu, Seattle, Los Angeles, New York, San Diego, and Oxnard, where rent is over $1,000 cheaper per month than a 50-year mortgage.
Who benefits most? Buyers in cities where the monthly rent is already mortgage-sized, like Lakeland, FL; Harrisburg, PA; and Indianapolis, IN. However, barely 2% of the renters in these “Goldilocks Zones” would see any benefit.
But is it less than rent? In 49 of the country’s largest 100 metros, the 50-year mortgage would save them monthly vs. average rent.
Where does a 50-year mortgage save buyers the most money? In Columbia, SC; New Orleans, LA; Jackson, MS; Springfield, MA; and McAllen, TX, monthly payments fall at least $400, and as much as $600 in McAllen.

Lakeland, FL, Could See the Highest Rate of New Owners Under a 50-year Mortgage Plan

In the growing Lakeland metro between Tampa and Orlando, around 2.1% or about 1,745 renters will find themselves on the other side of the “buy” threshold, welcomed to the table by lower monthly payments. In places like this, that difference in monthly cost mints many newly qualified buyers.

In other locales, the story is different. Take San Jose, CA, where the 50-year mortgage would help just .36% of renters (~1,089) access the housing market. Here, the monthly savings between mortgage types can’t begin to span the divide between monthly payment types: rent averages $4,466 in the Silicon Valley city, while home ownership under a 50-year plan would make for monthly payments of $9,520.

City	Average Monthly Rent	Avg. Monthly 50-year Mortgage
Lakeland, FL	$2,054	$1,707
San Jose, CA	$4,466	$9,520

Across the largest 100 cities, the average percentage of renters who could be lifted into homeownership with a 50-year mortgage is 1.31%. That makes Lakeland’s renter-to-owner conversion rate 60% higher than in the average big city. While San Jose’s rate is about 73% lower than the average city in our analysis.

San Jose, CA, Renters Wouldn’t Feel Any Benefit With a 50-year Mortgage

The 50-year mortgage helps ownership least in these 8 American cities where rent is over $1,000 cheaper than 50-year mortgage payments:

San Jose, CA
San Francisco, CA
Honolulu, HI
San Diego, CA
Los Angeles, CA
Seattle, WA
New York, NY
Oxnard, CA

10 Cities Where 50-Year Mortgages Could Boost Renter-to-Owner Rates — Most

In which cities can a 50-year mortgage actually help renters? Where could it move the most people from renting into owning? To find out, we looked at typical rent and estimated 30-year and 50-year mortgage payments in America’s 100 largest metros. Then we lined those costs up with average local incomes, using 30% of income as an affordability limit. From there we could see where the biggest share of renters would newly qualify to buy a home with a 50-year mortgage.

These are the 10 metros that have the highest rate of renters who could step into homeownership with the help of a 50-year mortgage.

#1 Lakeland, FL

Renters who could buy ( % ): 2.1
Estimated new homeowners: 1,745
Typical monthly rent: $2,054
Estimated 50-year mortgage payment: $1,707
Monthly savings vs. renting: $347

Lakeland’s been named a top American “Boomtown” which has enticed new movers, strained housing supply, and spurred a strong construction industry. But with popularity comes strain. Local rents have inched up, creating market competition. That can make a longer 50-year loan appealing to those who think this commuter gem between Tampa and Orlando is the right place to put down roots.

#2 Harrisburg, PA

Renters who could buy ( % ): 1.92
Estimated # of new homeowners: 1,486
Monthly rent: $1,804
50-year mortgage: $1,814
Monthly savings: -$10

Pennsylvania’s capital sees 50-year mortgage rates and rent payments nearly identical, making the real estate market a nearly attainable dream for many residents. Further, stable unemployment rates in a capital city with a diversified economy might convince many that a long road to homeownership could put them on top by the time they retire — for nearly the same price tag. After all, the city’s affordability already makes it a top market for first-time homebuyers.

#3 Indianapolis, IN

Renters who could buy ( % ): 1.87
Estimated new homeowners: 5,187
Monthly rent: $1,834
50-year mortgage: $1,665
Monthly savings: $169

Indianapolis is that classic “still technically affordable” town that’s losing the designation a little more each year. It’s a city where half of renters are cost-burdened, and rents have risen almost 50% since 2015, so the prospect of pocketing an extra $169 monthly could look like a good deal to many struggling Hoosiers. They’d even own their own homes at the end of it.

#4 Washington, DC

Renters who could buy ( % ): 1.83
Estimated new homeowners: 15,637
Monthly rent: $3,128
50-year mortgage: $3,597
Monthly savings: -$469

While Harrisburg’s 50-year mortgage tops its rent costs (by $10 monthly), D.C. residents would have to fork over almost $500 extra per month to own their own homes under the 50-year mortgage proposal. The mortgage won’t beat rent in a city where zoning has created fewer mid-range homes, but it does shift the narrative for a big group of higher-income renters. And in an area known for administrative turnover, that renter pool is huge.

#5 Chattanooga, TN

Renters who could buy ( % ): 1.82
Estimated new homeowners: 1,312
Monthly rent: $1,916
50-year mortgage: $1,770
Monthly savings: $146

In this “almost affordable” market, stretching the payment term and coming in slightly cheaper than rent makes a 50-year mortgage attractive to many. The problem is that Chattanooga has seen home prices rise 39% since 2019, soaring up and away from earners. Local growth has helped buoy incomes, yet today, ownership sits just outside the sweet spot for a large group of southern Tennesseans.

#6 Charleston, SC

Renters who could buy ( % ): 1.78
Estimated new homeowners: 1,829
Monthly rent: $2,451
50-year mortgage: $2,354
Monthly savings: $97

Charleston’s big charm and recent popularity has meant big prices have clobbered the local housing market — Charleston’s seen home prices soar more than most American cities over the past 6 years. With home costs up 81%, and a large tourism industry full of service workers, the city faces a renter pool that’s seeing affordability get more and more distant.

#7 San Antonio, TX

Renters who could buy ( % ): 1.78
Estimated new homeowners: 6,164
Monthly rent: $1,840
50-year mortgage: $1,791
Monthly savings: $48

Though mid-level home prices are rising in San Antonio, they’re more affordable than many other Boomtowns in the Lone Star State. That’s made it a place where the 50-year loan might unlock a large group of middle-income households. While rent and 30-year mortgage payments are already comparable, buyers with a 50-year loan could see relief in their monthly expenses, creating new opportunities for those who would otherwise be locked out.

#8 Greenville, SC

Renters who could buy ( % ): 1.76
Estimated new homeowners: 1,949
Monthly rent: $1,842
50-year mortgage: $1,672
Monthly savings: $170

Greenville’s rent and 50-year mortgage payments are comparable, making a lot of Low Country residents wonder if home ownership is a smarter path. After all, they’re facing higher prices and less inventory as South Carolina’s popularity continues to rise, while housing moratoriums aim to forestall the area’s “runaway growth.”

#9 Jackson, MS

Renters who could buy ( % ): 1.76
Estimated new homeowners: 1,357
Monthly rent: $1,636
50-year mortgage: $1,166
Monthly savings: $470

Jackson’s price differential makes a 50-year mortgage feel like a steal. Renters here will pay $1,636 monthly, while 50-year mortgage owners will only need to plonk down $1,166 — $470 less than rent. That’s a huge boon to monthly affordability in a city with the 2nd-lowest average income in the top 10.

#10 North Port, FL

Renters who could buy ( % ): 1.75
Estimated new homeowners: 1,595
Monthly rent: $2,567
50-year mortgage: $2,416
Monthly savings: $152

The North Port metro, including Sarasota and Bradenton, comes with bay breezes, but its coastal prices keep ownership out of reach for many residents. Though the market has cooled, lowering home prices 9% last year, there are still plenty of would-be beach bums sitting just under the affordability line, waiting for their ship to come in.

New York Would See the Highest Sheer Number of New Homeowners

In the nation’s largest cities, a new 50-year mortgage would lift many more residents into the affordability zone for home ownership: New York would see almost 19K potential new homeowners under the plan.

City, St.	Estimated new homeowners:	% of Renters Lifted into Homeownership	Total Renters in MSA
New York, NY	18,837	0.53%	3,572,526
Dallas, TX	18,290	1.62%	1,129,822
Chicago, IL	17,450	1.39%	1,254,739
Washington, DC	15,637	1.83%	856,735
Atlanta, GA	13,025	1.67%	780,040
Houston, TX	12,419	1.23%	1,009,181
Philadelphia, PA	12,179	1.51%	807,410
Los Angeles, CA	11,645	0.51%	2,296,096
Miami, FL	10,376	1.13%	916,495
Minneapolis, MN	7,180	1.69%	423,950

These cities aren’t cheap, but their real estate prices aren’t in “San Francisco/San Jose/Honolulu territory. Even in notoriously pricy New York, extensive outer boroughs offer more affordable, older housing stock. There are also plenty of middle-class renters earning enough that ownership is just a hair out of reach.

For instance, in news reports, battles over AirBnB presence in “outer boroughs” is fiercely contested as it specifically impacts affordable middle-income home ownership.

In Dallas, a middle-class rental housing shortage means that working professionals are increasingly looking for any relief.

In each of these cities, there’s a large number of potential buyers sitting right below the affordability line. A big renter pool, plus this significant middle class, tips the scales toward 50-year mortgages.

50-Year Mortgage Winners are “Just Right” Markets

Overall, 49 of the 100 cities would offer a lower monthly home cost with a 50-year mortgage than renting. But, a 50-year mortgage only meaningfully helps renters in about 10% of America’s largest 100 cities. These cities are places where costs of home ownership are just barely out of reach for a large portion of the city’s renter pool.

Cities that benefit most represent a Goldilocks Zone.

The perfect zone for the 50-year mortgage is one where turning the temperature down by just a degree or two makes a big difference. In this zone, homes cost about 38% of average income, with 50-year mortgages lowering costs to about 36.8%. And crucially, rent in these cities already averages 9% higher than the 50-year payment. So residents are already paying mortgage-sized cash, while 30-year options are just out of reach.

City, ST	30-Year Payment (% of income)	50-Year Payment (% of income)	Rent vs. 50-year mortgage (% difference)	Monthly savings vs. renting	% of Renters Lifted
*City Averages*	*38.1%*	*36.8%*	9%	*$112*	*1.8%*
1. Lakeland, FL	47.7%	46.1%	20%	$347	2.1%
2. Harrisburg, PA	35.1%	34.0%	-1%	-$10	1.9%
3. Indianapolis, IN	28.5%	27.6%	10%	$169	1.9%
4. Washington, DC	49.9%	48.3%	-13%	-$469	1.8%
5. Chattanooga, TN	37.4%	36.1%	8%	$146	1.8%
6. Charleston, SC	42.7%	41.2%	4%	$97	1.8%
7. San Antonio, TX	37.3%	36.1%	3%	$48	1.8%
8. Greenville, SC	37.3%	36.0%	10%	$170	1.8%
9. Jackson, MS	24.9%	24.1%	40%	$470	1.8%
10. North Port, FL	40.0%	38.7%	6%	$152	1.7%

It’s the perfect recipe for a 50-year mortgage that makes some sense.

However, overall, the 50-year loan benefits very few Americans. With our top ten cities moving an average of 1.8% of their renters into potential homeownership through the plan, it’s debatable whether a Goldilocks Zone for 50-year mortgages exists at all.

After all, even these lucky few in the top cities haven’t yet paid any maintenance costs associated with home ownership. Or insurance. And their monthly payments reflect interest rates that make their homes cost, on average, $454K more than those of owners with traditional 30-year mortgages, while building equity at a slow pace. Further, if they move early in their mortgage term, they could find themselves upside down on their mortgages, owing more than their homes are worth.

Ultimately, even in the top ten, renters choosing a 50-year loan over a traditional 30-year option are trading a small monthly break for a huge lifetime cost.

Buy in McAllen, TX — Rent in San Jose, CA

So, if the 50-year mortgage is your only path to home ownership, should you give up and rent instead?

In some of the nation’s most expensive cities, renting will save you bundles compared to the 50-year mortgage, like in San Jose, CA, where buying nearly doubles monthly costs.

But there are plenty of cities where buying can mean lower monthly costs.

Across our 100 metros, the 50-year mortgage is lower than the current average rent, with the average savings around $178 versus renting. The poster child is McAllen, TX, where renters pay about $1,747, but the 50-year mortgage rate of $1,147 beats it by $600 per month.

In places like Springfield, MA; Jackson, MS; New Orleans, LA; and Columbia, SC, renters will also find the 50-year costs them over $400 less per month than rent.

50-Year Plan Benefits are Uneven

Why do some cities benefit more than others? Because access to home ownership still depends on housing supply, incomes, and local policy — and those are issues rooted in individual locales.

Still, the 50-year mortgage shaves a tiny slice off the significant national problem of housing affordability. It allows some renters to become qualified buyers. But no matter which city they’re in, they’ll face a disappointing choice: to buy at a much higher lifetime rate, or to forgo the property ladder altogether.

And in the end, those buyers will pay dearly for it and take a gamble that’s stacked against them more than ever.

Methodology

We started with the top 100 largest metropolitan statistical areas in the U.S., looking at their:

Average home price (Zillow)
Property tax rates (U.S. Census)
Occupied households (U.S. Census)
Average local rent (Zillow)
Average local income (U.S. Bureau of Economic Analysis)

From there, we calculated 30-year and 50-year monthly mortgage payments, using the current 30-year interest rate (6.39%) and a slightly higher rate (7%) for the 50-year rate. We used the same down payment for both (14.4%).

But that didn’t tell us how many of those cities’ residents might be lifted into home ownership (keeping their rent or mortgage payments below 30% of income) based on the reduction in their monthly expenses that a 50-year mortgage could make. So we got granular on each metro’s income distribution brackets and renter counts (U.S. Census).

Because the minimum income requirements for each of the mortgages don’t align with the Census’s income brackets, we applied a uniform distribution of renters to income brackets, so we could calculate the number of people in each income bracket who are both renters and could qualify for each mortgage.

We replicated this method across income brackets, but for those with incomes above $150K, we modeled a logarithmic distribution to simulate likely household incomes, distribute realistic incomes across the bracket, and find the number of renters who could be lifted into home ownership via the new mortgage proposal.

Full dataset:

City, St.	% of Renters Lifted into Homeownership	Estimated new homeowners	Typical monthly rent	Estimated 50-year mortgage payment	Monthly savings vs. renting
Lakeland, FL	2.10%	1,745.14	2,053.97	1,706.91	347.06
Harrisburg, PA	1.92%	1,486.45	1,804.08	1,813.63	-9.55
Indianapolis, IN	1.87%	5,187.27	1,833.97	1,664.84	169.13
Washington, DC	1.83%	15,636.74	3,127.66	3,596.60	-468.94
Chattanooga, TN	1.82%	1,311.70	1,916.35	1,770.25	146.11
Charleston, SC	1.78%	1,828.56	2,451.31	2,354.04	97.27
San Antonio, TX	1.78%	6,163.75	1,839.70	1,791.23	48.47
Greenville, SC	1.76%	1,948.49	1,842.28	1,672.32	169.96
Jackson, MS	1.76%	1,357.10	1,635.85	1,166.02	469.83
North Port, FL	1.75%	1,595.12	2,567.37	2,415.51	151.87
Minneapolis, MN	1.69%	7,180.39	2,405.11	2,336.02	69.09
Orlando, FL	1.68%	6,099.21	2,431.27	2,284.70	146.57
Atlanta, GA	1.67%	13,025.22	2,201.36	2,211.88	-10.53
Baltimore, MD	1.66%	6,084.56	2,341.82	2,407.49	-65.67
Cape Coral, FL	1.64%	1,361.57	2,142.38	2,049.25	93.12
Durham, NC	1.64%	1,517.04	2,113.65	2,377.52	-263.87
St. Louis, MO	1.63%	5,621.46	1,607.54	1,619.85	-12.31
Dallas, TX	1.62%	18,289.58	2,325.36	2,341.12	-15.76
Louisville, KY	1.60%	2,766.97	1,638.26	1,571.99	66.26
Charlotte, NC	1.60%	5,738.33	2,130.86	2,177.23	-46.37
Spokane, WA	1.58%	1,297.75	2,146.27	2,392.98	-246.71
Cincinnati, OH	1.58%	4,534.00	2,041.30	1,825.10	216.20
Winston, NC	1.57%	1,361.92	1,806.56	1,539.34	267.22
Denver, CO	1.57%	6,722.03	2,863.03	3,275.35	-412.32
Tulsa, OK	1.54%	2,128.40	1,585.59	1,426.58	159.01
Rochester, NY	1.53%	2,230.00	2,012.03	1,791.35	220.68
Fresno, CA	1.53%	2,434.40	2,383.12	2,328.73	54.38
Buffalo, NY	1.52%	2,545.91	1,850.91	1,791.49	59.42
Philadelphia, PA	1.51%	12,179.16	2,210.58	2,400.67	-190.09
Oklahoma City, OK	1.48%	3,009.77	1,524.71	1,410.95	113.75
Albany, NY	1.47%	1,997.73	2,208.80	2,254.16	-45.37
Tampa, FL	1.47%	6,196.55	2,385.97	2,116.38	269.59
Greensboro, NC	1.46%	1,651.02	1,783.42	1,474.85	308.57
Palm Bay, FL	1.46%	848.54	2,223.84	1,975.31	248.53
Toledo, OH	1.45%	1,337.99	1,305.89	1,222.56	83.32
Milwaukee, WI	1.45%	3,727.47	1,675.92	2,321.96	-646.04
Richmond, VA	1.44%	2,482.13	2,150.48	2,176.91	-26.43
Riverside, CA	1.44%	7,096.32	3,085.63	3,346.44	-260.81
Cleveland, OH	1.42%	4,456.12	1,664.19	1,562.47	101.72
Grand Rapids, MI	1.42%	1,588.39	2,056.07	1,998.65	57.41
Columbia, SC	1.41%	1,456.94	1,805.92	1,389.55	416.37
Virginia Beach, VA	1.40%	3,628.60	2,159.42	2,102.43	56.99
Salt Lake City, UT	1.40%	1,975.74	2,448.62	3,181.06	-732.44
Detroit, MI	1.39%	7,106.14	1,585.57	1,599.12	-13.55
Portland, OR	1.39%	5,288.09	2,641.80	3,238.77	-596.97
Chicago, IL	1.39%	17,450.08	2,426.50	2,359.44	67.06
Sacramento, CA	1.39%	4,566.13	2,753.77	3,343.41	-589.64
Columbus, OH	1.38%	4,573.23	2,028.25	2,087.43	-59.18
Memphis, TN	1.38%	2,811.01	1,595.25	1,392.09	203.16
Kansas City, MO	1.37%	4,149.32	1,713.84	1,863.15	-149.31
Allentown, PA	1.37%	1,403.60	2,194.15	2,219.99	-25.84
Birmingham, AL	1.37%	1,850.22	1,499.53	1,396.56	102.97
Jacksonville, FL	1.36%	2,959.15	1,993.17	2,033.14	-39.98
McAllen, TX	1.36%	1,168.49	1,747.31	1,147.35	599.96
Syracuse, NY	1.35%	1,143.11	2,011.13	1,662.50	348.62
Deltona, FL	1.34%	993.05	2,084.34	1,881.71	202.63
Wichita, KS	1.32%	1,180.38	1,307.56	1,309.84	-2.28
Baton Rouge, LA	1.32%	1,325.20	1,685.83	1,370.00	315.83
El Paso, TX	1.31%	1,413.04	1,693.12	1,444.52	248.59
Stockton, CA	1.31%	1,215.25	2,766.55	3,047.85	-281.31
New Orleans, LA	1.31%	2,060.88	1,880.20	1,441.54	438.66
Little Rock, AR	1.31%	1,454.69	1,413.87	1,258.72	155.15
Augusta, GA	1.28%	916.72	1,638.98	1,351.09	287.89
Akron, OH	1.27%	1,197.23	1,472.25	1,433.44	38.81
Pittsburgh, PA	1.23%	3,860.88	1,582.89	1,377.20	205.69
Houston, TX	1.23%	12,419.14	2,167.39	1,982.29	185.10
Bakersfield, CA	1.22%	1,378.63	2,239.59	2,094.01	145.58
Tucson, AZ	1.19%	1,808.06	1,869.21	1,993.75	-124.54
Des Moines, IA	1.19%	1,050.57	1,703.12	1,885.77	-182.65
Scranton, PA	1.19%	902.55	1,512.51	1,359.85	152.66
Knoxville, TN	1.17%	1,291.38	2,054.84	1,932.17	122.67
Provo, UT	1.17%	734.65	2,253.09	3,041.39	-788.30
Ogden, UT	1.16%	579.22	2,259.86	2,855.82	-595.96
Miami, FL	1.13%	10,375.56	3,402.98	3,184.86	218.12
Raleigh, NC	1.12%	2,057.59	2,096.44	2,489.66	-393.23
Omaha, NE	1.11%	1,442.58	1,957.59	1,882.49	75.11
Austin, TX	1.10%	4,278.04	2,252.73	2,807.85	-555.12
Phoenix, AZ	1.09%	6,798.69	2,266.22	2,499.25	-233.03
Las Vegas, NV	1.07%	3,876.56	2,187.65	2,481.88	-294.23
Modesto, CA	1.06%	730.69	2,387.01	2,636.11	-249.10
Albuquerque, NM	1.04%	1,210.43	2,078.35	1,963.87	114.47
Colorado Springs, CO	1.04%	1,010.13	2,225.47	2,513.66	-288.19
Springfield, MA	1.03%	717.26	2,828.81	2,246.52	582.30
Providence, RI	1.00%	2,485.06	2,978.62	3,052.69	-74.06
Worcester, MA	0.95%	1,085.99	2,761.32	2,899.85	-138.53
Boise City, ID	0.95%	762.91	2,187.43	2,692.40	-504.97
Madison, WI	0.93%	1,075.48	2,803.15	2,811.10	-7.95
Nashville, TN	0.92%	2,541.29	2,313.93	2,513.45	-199.52
New Haven, CT	0.79%	706.27	2,944.32	2,674.27	270.05
San Francisco, CA	0.78%	6,057.00	4,026.25	6,794.63	-2,768.38
Hartford, CT	0.77%	1,182.08	2,525.83	2,599.20	-73.37
Seattle, WA	0.65%	4,059.00	3,275.58	4,453.86	-1,178.28
Boston, MA	0.59%	4,327.00	3,493.00	4,429.70	-936.70
Oxnard, CA	0.58%	574.00	3,987.09	5,113.27	-1,126.18
San Diego, CA	0.56%	2,942.00	4,061.50	5,532.85	-1,471.35
Urban Honolulu, HI	0.53%	727.00	3,258.89	5,517.15	-2,258.27
New York, NY	0.53%	18,837.00	3,418.61	4,565.66	-1,147.06
Los Angeles, CA	0.51%	11,645.00	4,337.57	5,618.50	-1,280.93
Bridgeport, CT	0.45%	538.00	4,259.84	4,564.11	-304.27
San Jose, CA	0.36%	1,089.00	4,465.65	9,520.08	-5,054.43

FAQ’s

Would a 50-year mortgage actually make sense for me, or would I just be paying way more in the long run?

Our data shows that a 50-year mortgage almost always means paying way more over your lifetime, although it may help a small slice of renters in a few areas.

On average, stretching to a 50-year mortgage only drops the monthly payment by about $84 on a typical home in the 100 largest metros. In return, buyers pay about $561,000 more in interest over the life of the loan, which is about $454,000 more than if they were bought with a 30-year mortgage due to interest rates.

If I switched from a 30-year to a 50-year mortgage, how much could it really lower my monthly payment?

Across the 100 largest metros, switching from a 30-year to a 50-year mortgage cuts the monthly payment by about $84, on average. But that can range from $336 in San Jose, CA to $37 in McAllen, TX.

But our study focuses on where renters could become homeowners with a 50-year mortgage. So, by our measures, in some “better” markets, the meaningful comparison is actually 50-year mortgage vs rent because 30-year payments are already out of reach. For example, typical monthly rent in Lakeland, Florida is $2,054 while the estimated 50-year mortgage payment is cheaper at $1,707.

I’m a first-time homebuyer with a pretty tight budget. Could a 50-year mortgage be what finally makes buying possible for me?

Possibly, depending on where you live and whether you are already paying a mortgage-sized rent. Nationwide, about 1 in every 85 renters (1.17%) in the top 100 metros would be newly able to buy with a 50-year mortgage. In the top 10 “winner” cities (Lakeland, Harrisburg, Indianapolis, Washington, Chattanooga, Charleston, San Antonio, Greenville, Jackson, North Port) around 1.75-2.1% of renters get pushed over the affordability line. If you’re in one of those markets and already paying high rent, a 50-year mortgage might be the thing that finally makes buying possible and lets you build equity instead of handing 100% of your payment to a landlord.

But in very expensive markets like San Jose, San Francisco, Honolulu, Seattle, Los Angeles, New York, San Diego, and Oxnard, even a 50-year mortgage doesn’t make owning cheaper than renting and often leaves you paying over $1,000 more per month than rent.

How much extra interest would I end up paying over time if I go with a 50-year mortgage instead of a 30-year?

We found that a 50-year mortgage adds about $561,000 in extra interest on an average home across the 100 largest metros. Because of the extended term and slightly higher assumed interest rate, the total interest paid on the home ends up considerably higher with the 50-year mortgage.

Is it smarter for me to keep renting, or would a 50-year mortgage help me build equity without wrecking my monthly budget?

If a 50-year payment in your city is meaningfully lower than your current rent and still under about 30% of your income, it can be a way to buy and start building equity. If the 50-year payment is higher than rent, or only slightly cheaper, you are probably better off renting, especially since a 50-year loan comes with a much higher lifetime cost and slower equity growth.