Many people who are looking to buy a home consider whether they need 30 year or 15 year Fixed Mortgage rates for their monthly payments. Since many of us are buying homes later in life, we would like to have the house paid off as soon as possible. Of course, there are many things to consider before signing any papers.

It is important to remember that you want to make sure that the Fixed Mortgage rate does not change over the course of the loan. Many lenders offer deals that are said to be the lowest Mortgage rates that no others are offering. Most of the time, this means that they actually are too good to be true. Loans that have 15 year Fixed Mortgage rates maintain the same amount of interest throughout the life of the loan. This is beneficial for any of us who do not like surprises.

When my friend was looking at homes for sale, he decided to look into the various loans available with 15 year Fixed Mortgage rates. Wanted to pay off the house as soon as possible but he did not want to get in over our heads with high monthly payments.

In addition to considering loans with 15 year Fixed Mortgage rates, he also looked into loans that spanned 30 years as well. Did not really like the idea of having a mortgage as he was approaching the age of retirement and were really hoping to get one of the loans with 15 year Fixed Mortgage rates.

There was a lot of pressure to have the house paid off as soon as possible. However, after considering everything with his wife, he chose a 30 year loan instead. Many things factored into this. First, he discovered that his wife was having a baby. Her contribution to the monthly finances was unreliable since she was going to raise our child at home.

Loans that had 15 year Fixed Mortgage rates required a higher monthly payment. They simply did not want to get in over their heads with those Fixed Mortgage rate. A thirty year Mortgage loan brought the monthly payments down quite a bit. On the other hand, make extra payments throughout the year to make the principal shrink quicker.

If you make a handful of extra payments throughout a twelve-month period, you can knock years off your Mortgage loan. This takes some discipline but it is well worth it in the end. Although you would have preferred the loans with 15 year Fixed Mortgage rates, you have to take your needs and abilities into consideration. Never forget to check upon the current Mortgage rates at time as well.