15 vs 30 Year Mortgage Calculator
Compare 15-year vs 30-year mortgage options. See monthly payments, total interest, and savings to choose the best mortgage term for your financial goals.
15-Year Fixed
15
Years to Pay Off
30-Year Fixed
30
Years to Pay Off
Understanding 15-Year vs 30-Year Mortgages
Choosing between a 15-year and 30-year mortgage is one of the biggest financial decisions homebuyers face. Each option has distinct advantages depending on your financial goals, current income, and long-term plans.
How This Calculator Works
- Enter your home price and down payment amount
- Input the interest rates for both 15-year and 30-year options
- Click "Compare Mortgages" to see side-by-side results
- Review monthly payments, total interest, and savings
Key Factors to Consider
- Monthly Budget: Can you comfortably afford the higher 15-year payment?
- Financial Goals: Do you prioritize paying less interest or having more monthly cash?
- Retirement Timeline: When do you want to be mortgage-free?
- Other Debts: Do you have high-interest debt that should be paid first?
- Investment Options: Could you earn more investing the payment difference?
The Math Behind the Decision
A 15-year mortgage typically has a 0.25% to 0.75% lower interest rate than a 30-year mortgage. Combined with the shorter term, this results in dramatically less interest paid over the life of the loan. However, monthly payments are typically 40-50% higher with a 15-year mortgage.
Hybrid Strategy
Some borrowers choose a 30-year mortgage but make extra payments as if it were a 15-year mortgage. This provides flexibility—if finances become tight, you can revert to the lower payment. However, you'll still pay the higher 30-year interest rate on the remaining balance.