How 30-year fixed rates work, you'll pay off your loan over 30 years, and your rate stays locked in for the entire time.
Monthly payments are lower for 30-year terms than for shorter terms, because you're spreading payments out over a longer period of time. The 15-year mortgage rates are lower than 30-year mortgage rates. Between the lower rates and paying off the loan in half the time, you'll pay less in the long run on a 15-year mortgage than on a longer term.
Lenders charge similar interest rates on 10-year and 15-year terms, but you'll pay off your mortgage sooner with a 10-year term.With an adjustable-rate loan, your rate stays the same for the first few years, then changes periodically. Your rate is locked in for the first five years on aARM rates are at all-time lows right now, but a fixed-rate mortgage is still the better deal. The 30-year fixed rates are comparable to or lower than ARM rates.
are banks seriously even offering fixed rate mortgages right now? What delightful maniacs.