On top of decimating HUD, Project 2025 is proposing to kill the 30-year mortgage and raise the cost of home ownership.
First, they want to increase the cost of mortgage insurance, which is a fee people pay when they have less than a 20% down payment. They will do this to 25- and 30-year terms (and above), which offer the most affordable monthly payments.
This will raise the cost of home ownership in two ways: higher monthly payments (due to shorter terms), and higher monthly payments (due to higher fees for anyone who doesn't have 20% down).
FHA leadership should increase the mortgage insurance premium (MIP) for all products above 20-year terms and maintain MIP for all products below 20-year terms and all refinances. FHA should encourage wealth-building homeownership opportunities, which can be accomplished best through shorter-duration mortgages.