Most borrowers take 30 year home loan their first choice. It can be reasonable since the total payments are spread over a longer period of time with the interest rate set for the entire time of the mortgage. Though 30 year home loan rates are an industry standard but you have to make an evaluation before making the choice?
The plus side for a 30 year home loan is lower monthly payments. This attraction is somewhat dimmed by the fact that you pay thousands extra in interest. But, your interest is 100% tax deductible which does lower your after tax cost. It offers you some flexibility so that if your financial situation changes and you have more money you can pay it off in less than 30 years, this while keeping the low monthly payments. Your payments are smaller so View the rest of this article