Fixed Rate Mortgages

What is a Fixed Rate Mortgage?

A fixed rate mortgage has an interest rate that stays the same for the entire loan term. Your principal and interest payment does not change, which makes budgeting easier and protects you from rising market rates after you close.

Fixed rate loans are available in several term lengths; 15-year and 30-year fixed mortgages are the most common choices for homebuyers and those refinancing an existing loan.

15-Year vs. 30-Year Fixed

30-Year Fixed

The 30-year fixed spreads payments over 360 months, which typically means a lower monthly payment than a shorter term. It is widely chosen by buyers who want maximum payment flexibility or who are buying a larger home relative to their budget.

15-Year Fixed

A 15-year fixed pays off the loan in half the time. Monthly payments are higher than a 30-year loan at the same rate, but you build equity faster and usually pay less total interest over the life of the loan.

Benefits of Rate Stability

• Predictable principal and interest portion of your payment for the life of the loan
• Protection from short-term interest rate increases after closing
• Straightforward comparison of loan offers based on rate and fees
• Ideal if you plan to stay in the home for many years
• May simplify long-term financial planning alongside other fixed expenses

Requirements

Is a Fixed Rate Right for You?

A fixed rate mortgage is often a strong fit if you value payment certainty, expect to keep the loan for more than a few years, or believe rates may rise over time. If you might move or refinance soon, we can also discuss adjustable rate options.