| its a very unique market and seeing 30 year interest rates lower than a 15 is not unheard of. WIth the recent, quick rate drop, investors just havent dropped their rates on the shorter terms. Adjustable loans used to be much lower in rates than fixed but that isnt the case anymore. Most loans these days dont have a prepayment penalty but it is still good to ask. take the 30 year if you are disciplined enough to make a 15 year term payment. if not, take the 15
there are only 4 variables to a loan. rate, payment, term, and loan amount. just because a loan says 30 year doesnt mean you cant pay it off in 20, 15, 5 or 1 year. Given the same rate, loan amount, and term, the payment will be identical. So, whichever program has the lower rate will save you the most if you make the same payment. |