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The Difference Between a 15-Year and 30-Year Fixed Mortgage (Video)

The Difference Between a 15-Year and 30-Year Fixed Mortgage (Video)

The Difference Between a 15-Year and 30-Year Fixed Mortgage

(Video Transcript)

When you’re buying a home, there are many loan options to consider. Two of the most common mortgage options are 15-year and 30-year fixed mortgages. As the names suggest, the number of years it takes to pay off these mortgages differs. But there are other differences to consider too. Let’s take a look.

15-Year Mortgages

  • Often have lower interest rates.
  • And, they require a higher payment each month.
  • But, when you consider interest costs, 15-year mortgages can end up costing less overall than a 30-year mortgage.

On the other hand, 30-Year Mortgages

  • Have a lower monthly payment, which is the primary benefit of this option because it enables buyers to:
    • Afford more home than they could with a 15-year loan.
    • Have money each month to use toward other savings goals.

Keep the benefits of each mortgage in mind when you’re buying a home. Consult your mortgage lender to see which option is best for you.

Learn more about Homeownership at Education.BankersTrust.com.

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Mortgage Team

Mortgage Team

(515) 248-1320

Bankers Trust’s team of mortgage originators have the expertise to guide you through a number of homeownership topics, including buying a home, choosing a mortgage type, obtaining a home equity loan or line of credit and much more. Browse through our library of articles, videos and infographics and don’t hesitate to contact Bankers Trust’s mortgage origination office to learn more about customized solutions for your situation. When you meet with one of our loan originators, who have an average of 25 years of experience, you see that experience makes the difference. Learn more about our team here or give us a call at (515) 248-1320.

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