15-year vs 30-year Term: Which Mortgage Option is better in Chandler, Arizona?
Chandler is a city in Arizona, United States. It has a population of over 250,000 and is a business centre for technology companies. It is a progressive city with a great cultural heritage. Residents of Chandler are diverse and dynamic. They live in a peaceful environment and are part of a growing community. Homeowners in Chandler have always faced challenges when it comes to selecting mortgage refinance options. A lot of people can’t judge the market conditions and end up making the wrong decisions. They are divided on the issue of 15-year and 30-year terms of mortgage. So here are a few tips to guide you in finding a suitable option.
The 30-Year Mortgage is Easily Available
The 30-year mortgage plan is easily available and is the most popular one on the market. In this plan, the buyer takes a full 30 years to pay off the mortgage. The mortgage rate remains fixed for the entire loan period. This is a simple and straightforward plan but it does have drawbacks as well. You have to pay a premium since you get a longer time period to make the entire payment.
The 15-year Mortgage and Its Use
The 15-year mortgage is a lesser used plan, primarily because you have less time to pay off the loan. However, this plan also has its pros and cons. It may be applicable for some people who can afford it. The mortgage rates in a 15-year plan are lower but the monthly payments are higher compared to the 30-year plan. Over the long run, however, you will pay less interest on a 15-year plan compared to a 30-year plan.
Residents of Chandler must keep in mind these finer points when making decisions. They can log onto www.mortgagerefinance.com to find out more about home loans, mortgage rates and refinance mortgage. Our mortgage calculator tool can also be used to compare rates and check financial data.