Economics
Loan Term
Quick fact
On a $300,000 mortgage at 4% interest, choosing a 30-year term over a 15-year term saves about $1,000 per month in payments, but you end up paying more than $100,000 extra in total interest.
Why this is interesting
Would you rather pay a little each month for 30 years, or more each month for 15 years? Your choice could cost you tens of thousands of dollars in extra interest.