A fixed-rate mortgage gives you one of the biggest benefits in homeownership: predictable payments. Your interest rate stays the same for the entire life of the loan, so your monthly principal and interest payment never changes—no surprises, no sudden increases.

Two Common Fixed-Rate Mortgage Options

15-Year Fixed-Rate Mortgage

• You pay less interest overall.
  Since you’re borrowing for a shorter time, you’ll pay less total interest over the life of the loan.
• You often get a lower rate.
  15-year mortgages typically offer lower interest rates than 30-year loans.
• Payments are higher each month.
  Because you’re paying off the loan faster, monthly payments are higher, but you’ll own your home free and clear in just 15 years.

30-Year Fixed-Rate Mortgage

• You pay more interest over time.
  Stretching payments out over 30 years means more interest is paid in total.
• Lower monthly payments.
  Your payments are smaller because you’re spreading them out over a longer time. This can help if you’re on a tighter budget.
• More flexibility in monthly finances.
  A 30-year loan can free up cash for other financial goals while still giving you long-term home stability.

How Fixed-Rate Mortgages Work

• Your monthly payment is based on the loan amount, the interest rate, and the length of your loan.
• Your rate is locked in from day one—it won’t change, even if market rates rise later.
• You can pay off your loan early anytime without any prepayment penalties.
• Rates (as of mid-2025) are around 6.8% for 30-year loans and around 6% for 15-year loans, depending on your credit and qualifications.

Why People Love Fixed-Rate Mortgages

• Easy to plan your budget
• No surprises on monthly payments
• Protection from rising interest rates in the future
• Long-term financial security