30 Year Mortgages Or 50 Year Mortgages


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The original loan offered by most lenders was a loan with a 30 year term. This loan was usually also fixed for 30 years.

Mortgage loan options now include:

loan term

loan type

These are two very different mortgage factors that you will need to understand.

Loan Terms

The term of a mortgage is the length of the loan. The longer a loan's term is the lower the monthly payment will be. Obviously it takes longer to pay off a loan with a longer term so you end up paying more interest over time than you would with a shorter term mortgage.

Loan terms can be for many years, including:

  • 15 years
  • 30 years
  • 40 years
  • 45 years
  • 50 years
Some lenders also offer loan terms with other lengths.

So far the longest available mortgage loan term is for 50 years.

Loan Type

The loan type is the actual terms of the loan. These terms include:

  • how long the interest rate on the loan is fixed
  • whether it is interest only or not
  • if the loan allows for a minimum payment option
  • interest rate cap
  • interest rate index
  • interest rate adjustments
Which Loan Is Right For You?

If you are looking for a new way to lower your monthly payment then a 50 year loan is something you should consider.

If you want to pay off your property sooner than a 30 year loan may be better for you.

Another option to get a lower payment is an interest only payment option.

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