 TITLE: What Type of Mortgage Loan Is Best? CONTENT: Should I Choose a 30-Year or 15-Year Mortgage?\n----------------------------------------------\nMortgages typically provide you with several different term options, but the two most common you'll encounter are 30 years and 15 years. There are a few important things to know when choosing your term.\nFirst, the shorter your term, the higher your monthly payment will be because you have less time to pay off the loan. One big plus, though, is it also means you'll pay less interest over the life of the loan since you're knocking out the debt faster—sometimes tens of thousands of dollars less. Also, interest rates are lower on shorter-term loans.\nWhen deciding on your mortgage term, think about how much you can afford to pay each month. If you have a high, stable income and plentiful savings, you might feel confident going with a 15-year term. But if your income is lower or inconsistent, or you just want the lowest mortgage payment possible, a 30-year term might be best. Keep in mind that you can usually make extra mortgage payments or pay extra in principal on each payment, so you could err on the side of caution and get a longer term, but overpay when you're able. That will help you pay off the loan faster and spend less on interest payments over the life of the mortgage. END