 TITLE: Should You Get a 15- or 30-Year Mortgage? CONTENT: When Does a 15-Year Mortgage Make More Sense?\n---------------------------------------------\nAs you can see in the above example, the No. 1 benefit of a 15-year mortgage is paying considerably less over the life of the loan and doing so in a significantly shorter timeframe. Going by our previous example, the 15-year loan would save you $250,000 compared with the 30-year loan.\nBut the high monthly cost of a 15-year mortgage is a drawback for many and an impossibility for others. Even if you could afford it now, the higher monthly payment may make things tougher if life introduces new costs or unexpected changes to your budget (think having children, changing or losing a job, or sudden emergency expenses).\nYou also will need a higher credit score for the 15-year loan, but you stand to secure some serious benefits with the condensed timeline in addition to the lower total cost. For instance, you may be able to dodge some fees with a shorter-term loan, and you'll build equity in your home more quickly. A shorter mortgage may also be preferable if you're going to be on a fixed retirement income. END