Mortgage Calculator: 15 vs. 30-Year Fixed Rate Mortgage

Which option is right for you: a 15 or 30-year fixed-rate loan?

If you’re interested in a fixed-rate mortgage, your lender will ask if you’d like a 30-year mortgage or a 15-year mortgage. Besides the obvious length of time each one lasts, there are several factors to consider when finding the loan that’s right for you.

Information and interactive calculators are made available to you as self-help tools for your independent use and are not intended as a solicitation for any credit product or to provide credit advice. Calculators and input options are intended solely for general information and educational purposes. Calculations are hypothetical, and based on information and assumptions provided by you. We cannot and do not guarantee their applicability or accuracy in regards to your individual circumstances. You should not take any action on the basis of the information provided through this calculator. We encourage you to seek personalized advice from qualified professionals regarding all personal finance issues.

What’s the difference between a 15 and 30-year fixed-rate mortgage?

Both 15 and 30-year loans have a fixed interest rate, giving you the peace of mind that your monthly payment will always be the same. However, the amount of that monthly payment and the total interest you’ll pay can vary greatly between the two options.

The key difference is that with a 15-year mortgage you will typically enjoy lower interest rates and with a 30-year mortgage you'll benefit from lower monthly payments.

Knowing what your monthly payment may be with a 15 or 30-year mortgage can help you decide which loan you’d be more comfortable with. Use the mortgage calculator above to see which option offers more cost savings for you.

 

How to use this calculator

Home Info:

Begin by entering basic home information, including purchase price, down payment, and expected years in home.

Shorter Term:

Enter details for a 15-year mortgage, including interest rate, origination charge, discount points, and other settlement services. Typically, the interest rate for a 15-year mortgage will be lower than the rate for a 30-year mortgage.

The origination charge is generally between 0.5% and 1% of your mortgage loan, but check with your mortgage specialist to confirm. For Other Settlement Services, consider the cost of an appraisal, credit report, flood certification, tax service, lender and owner’s title insurance, and government recording fees.

Longer Term:

For a 30-year mortgage, select your interest rate, origination charge, discount points, and other settlement services. See the calculator above for more information on origination charges and other settlement services.

Fees & Taxes: 

To find property taxes, check MLS listings online, or contact your county’s assessor/recorder’s office or a local real estate agent. Calculate homeowner’s insurance here, or contact an insurance agent for a quote.