15-Year Fixed-Rate Mortgage: Pros and Cons

2 Min Read
Published June 8, 2022
Couple researching in their apartment about 15-year fixed-rate mortgages.
Written By
Reviewed By

What is a 15-year fixed-rate mortgage, and how does it stack up against the popular 30-year fixed-rate mortgage?

If you take out a 15-year fixed-rate mortgage, you’ll repay the loan in 15 years and have the same interest rate during that entire period. This means the principal and interest portions of your monthly payment won’t change, which lets you budget more accurately for the future.

Compared to a mortgage with a longer loan term, you’ll end up saving money on interest. But your monthly housing costs are also higher with a 15-year mortgage, meaning it might not be an affordable option for everyone.

So, is a 15-year mortgage worth it? The answer depends on your personal situation. Let’s quickly walk through the advantages and disadvantages of a 15-year mortgage:

Pros and Cons of a 15-Year Mortgage

Benefits of a 15-Year MortgageDrawbacks of a 15-Year Mortgage
Build equity faster and achieve full ownership of your home soonerHigher monthly payment
Lower interest ratesLess flexibility in your budget for other expenses
Less total interest paidCan’t borrow as much compared to a 30-year mortgage

15-Year Mortgage FAQ

Get the answers to some frequently asked questions about 15-year mortgages.


Ready for more learning?

Here’s some other helpful articles

Related Articles

**itsHome, a LMB Mortgage Services, Inc. company, is not acting as a lender or broker. The information provided by you to itsHome is not an application for a mortgage loan, nor is it used to pre-qualify you with any lender. If you are contacted by a lender or broker advertising within our network, your quoted rate may be higher depending on your property location, credit score, loan-to-value ratio, debt-to-income ratio, and/or other factors. itsHome does not offer its matching services in all states. This loan may not be available for all credit types, and not all service providers in the itsHome network offer this or other products with interest-only options. The information that we provide is from companies which itsHome and its partners may receive compensation. This compensation may influence the selection, appearance, and order of appearance on this site. The information provided by itsHome does not include all financial services companies or all of their available product and service offerings. We use cookies to track data and provide you with the best possible experience. By proceeding you consent to the use of these cookies. For more information, see our Privacy Policy.

itsHome, a LMB Mortgage Services, Inc. company NMLS #167283, www.nmlsconsumeraccess.org