#mortgage loan rates
What are the advantages and disadvantages of 30-year fixed mortgages?
The pros of a 30-year fixed mortgage: it’s a predictable monthly payment; it’s a hedge against inflation (the rate is not tied to the index, so it doesn’t go up or down); it’s relatively simple and maintenance-free (you don’t need to worry about rate fluctuation); it provides a tax deduction from the interest you pay on your mortgage; and if rates drop significantly, you can refinance.
The cons of a 30-year fixed mortgage: rates and payments are usually higher than 15-year fixed mortgages and adjustable rate mortgages (ARMs), and if the owner decides to sell the home in less than five years, they could end up paying more interest vs. an ARM.
Mortgage rates are displayed through Zillow Group Mortgages, Inc. a licensed mortgage broker, NMLS ID #1303160. See current list of state licenses and disclosures here. This website allows consumers to provide information to Lenders to request quotes on terms for home loans. Lenders may respond to requests with non-binding customized quotes of terms they would offer to a borrower fitting the consumer’s anonymous profile, and their contact information. These non-binding quotes are not official Loan Estimates as defined in the Real Estate Settlement Procedures Act.