See how loan length changes your payment, and how much interest you pay over the life of the loan.
A mortgage term comparison calculator shows side by side what a 15-, 20-, and 30-year loan would cost, both the monthly payment and the total interest over the life of the loan.
A shorter term trades a higher monthly payment for dramatically less interest and faster equity, a 15-year loan often costs more per month but can save well into six figures over its life. A 30-year keeps the required payment low and your budget flexible. The right choice depends on whether you value cash-flow room or total savings more.
You don't have to choose permanently. Taking a 30-year loan and voluntarily paying it like a 15- or 20-year captures much of the interest savings while leaving you free to drop back to the lower required payment in a tight month. The catch is discipline, the savings only materialize if you actually make the extra payments.
A 15-year loan has a higher payment but can save six figures in interest and builds equity faster. A 30-year keeps payments lower and more flexible. It depends on your budget and goals.
Often more than half the total interest, since you borrow for half as long at a similar rate. The comparison shows exact figures for your loan.
Yes, a 30-year loan with extra principal payments gives flexibility with much of the interest savings. See our extra-payments calculator.
See the exact formula and a worked example on our methodology page.