15 Year Fixed

The main difference is obvious – the length of your loan. With a 15 year-fixed rate home loan, you’ll be able to pay off your mortgage in a shorter amount of time, ultimately owning your home quicker than you could with a 30 year-fixed rate loan.

In addition, with a 15 year fixed rate mortgage, you’ll be able to take advantage of a lower rate than what’s available with a 30 year fixed home loan. A shorter loan term plus lower mortgage rates means paying less interest on your loan – saving you more money!

One point to note: a 15 year fixed rate mortgage will have a higher monthly payment than a 30 year, so you’ll need to factor that into your budget.

Is a 15 Year Fixed Rate Mortgage For You?

A 15 year fixed rate mortgage can be a great home loan for many people; specifically, it is very popular for two different types of home buyers. First, young homebuyers with sufficient income find 15 year fixed rate mortgages popular as they enable these homeowners to pay off their home quickly before their children begin college. Second, home buyers with an already established career and higher income find 15 year-fixed rate home loans attractive as they can pay off their mortgage faster before they retire.