30-year fixed-rate mortgage
What is it? This mortgage combines a stable fixed interest rate with a long loan term that helps create manageable payments for millions of American families. During the years leading up to the current mortgage crisis, many homebuyers strayed from this time-tested formula in search of exotic loans with lower interest costs. Today, many borrowers are returning to the 30-year fixed-rate fold.
Who is it good for? Borrowers who plan to remain in their homes for a long period of time and/or want the security of knowing their monthly payment will never change.