30-year fixed-rate mortgages
The interest rate on a standard 30-year fixed mortgage is 6.94%, which is up by 15 basis points from a week ago. A 30-year fixed mortgage will usually have a higher interest rate than a 15-year fixed rate mortgage, but also a lower monthly payment. You won’t be able to pay off your house as quickly, but you’ll pay more interest over time. A 30-year fixed mortgage is a good option if you’re looking to pay less each month and avoid paying more interest over time.
15-year fixed-rate mortgages
Mortgage rates went up by 6 basis points this week. That means the interest on a 15-year fixed mortgage will now be 6.22%. A loan of the same value and interest rate, but for a 30-year fixed mortgage, will have a higher monthly payment. However, a 15-year loan is usually the better option if you can afford the payments. This is because you will usually be able to get a lower interest rate, pay off your mortgage sooner, and pay less total interest in the long run.