What is a 20-year mortgage?

A 20-year fixed-rate mortgage is a home loan paid off over 20 years with the same interest rate. It comes with a higher monthly payment compared to a 30-year loan, but typically a lower interest rate, saving you money on interest.

What are the alternatives to a 20-year mortgage?

The alternatives to a 20-year mortgage include 30-year loans, 15-year loans and 10-year loans. Getting a 30-year loan, then making additional payments when your budget allows, can help you get a similar benefit to the 20-year loan: paying off your mortgage faster.

How much does a 20-year mortgage cost?

The closing costs with a 20-year mortgage are similar to those of mortgages with other repayment terms. Expect to pay an average of about 2 to 4 percent of the loan’s principal amount at closing in fees, including the origination fee and third-party costs like title insurance. It’s possible to wrap these fees into the loan and pay them off gradually, but doing so will cost you in the long run: They increase the loan amount, so you'll wind up paying more in interest.

20-Year Mortgage Rates | Compare Rates Today

Weekly national mortgage interest rate trends

Current mortgage rates

	20 year fixed	6.09%
	10 year fixed	5.65%
	30 year fixed	6.29%

20-year mortgage rates today

If you’re looking to pay down your mortgage quickly, a 20-year mortgage offers a good compromise. Your monthly payments may be higher than those for the more popular 30-year loan, since you’re paying off the same amount faster — but the rates are lower, and you’ll pay less interest over the life of the loan.

The table below uses a comprehensive national survey of mortgage lenders to help you understand the current interest rates and APRs for a 20-year fixed mortgage loan. This data is updated daily.

Product	Interest Rate	APR
20-Year Fixed	6.18%	6.29%
30-Year Fixed	6.34%	6.40%
15-Year Fixed	5.72%	5.80%
10-Year Fixed	5.57%	5.63%

Rates as of Tuesday, December 16, 2025 at 6:30 AM

Product	Interest Rate	APR
20-Year Fixed	6.38%	6.49%
30-Year Fixed	6.60%	6.66%
15-Year Fixed	6.02%	6.11%
10-Year Fixed	5.95%	6.02%

Bankrate’s mortgage rates include national rate and APR averages, Bankrate Monitor (BRM) National Index rate averages, and “top offers”:
- National rate and APR averages: Displayed as daily and weekly averages, these rates and APRs are primarily collected from the 5 largest banks and thrifts across hundreds of markets in the U.S.
- Bankrate Monitor (BRM) National Index rate averages: Reported weekly, this long-standing survey collects rates from banks and thrifts across hundreds of markets in the U.S.
- “Top offers”: Displayed daily and weekly, these are an average of the rates listed first on our rate tables as advertised by our partners. The averages shown are based on the loan type and term selected.
You can compare national average mortgage rates to top offers to see how much you could save when shopping on Bankrate.

Learn more about how we collect, display and report mortgage rates.

How to get the best 20-year mortgage rate

It's important to research current mortgage rates so you know what to expect when you rate-shop, based on your credit and financial profile. To get the best offer, compare at least three mortgage offers by:

Getting preapproved: Collect quotes from three or more mortgage lenders — ideally on the same day, because rates can change quickly. Lenders set your mortgage rate based on your credit score, debt-to-income (DTI) ratio and other factors, including the size of your down payment. If you can increase the size of your down payment, for example, you may be able to find a better deal.
Comparing the annual percentage rates (APR): The APR reflects the interest rate as well as some of the expenses you’ll incur for the loan, such as the origination fee and any mortgage points.
Considering the lender’s ratings and your experience: Aside from the numbers, evaluate other factors, such as convenience or customer service. Take a look at what other borrowers have had to say about the lender, too.

Learn more: How to get a mortgage

Should you get a 20-year mortgage?

These loans offer an alternative to 30- and 15-year terms. Compared to a 30-year loan, you’ll have a larger monthly payment, but you'll pay down your balance more quickly while paying less interest to your lender. In contrast, a 20-year mortgage offers lower monthly payments than a 15-year mortgage.

To determine if a 20-year mortgage is right for you, do the math using the Bankrate Mortgage Calculator. Get the latest interest rates for 20-year fixed-rate mortgages above. Be sure to check back regularly, as rates can change quickly.

Also, think about your own financial goals and how a mortgage fits in. If lower monthly payments are most important to you, a longer-term mortgage is probably a better choice. But if you’d prefer paying less in interest, even if it means higher costs each month, a 20-year loan could do the trick.

Pros of 20-year mortgages

You’ll pay off your mortgage faster than you would with a typical 30-year loan.
Your monthly payments will be lower than they would be with a 10- or 15-year mortgage.
You can obtain a lower interest rate and save thousands over the life of the loan.

Cons of 20-year mortgages

Your monthly payments will be higher than they would be with a 30-year loan.
You'll have less buying power.
You’ll have less discretionary cash on hand month-to-month.

A 20-year mortgage means 10 fewer years spent paying interest compared to a 30-year mortgage. For many loans, that can mean a savings of well into six figures.
Andrew Dehan, Bankrate Senior Writer

FAQs

A 20-year fixed-rate mortgage is a home loan paid off over 20 years with the same interest rate. It comes with a higher monthly payment compared to a 30-year loan, but typically a lower interest rate, saving you money on interest.
The alternatives to a 20-year mortgage include 30-year loans, 15-year loans and 10-year loans. Getting a 30-year loan, then making additional payments when your budget allows, can help you get a similar benefit to the 20-year loan: paying off your mortgage faster.
The closing costs with a 20-year mortgage are similar to those of mortgages with other repayment terms. Expect to pay an average of about 2 to 4 percent of the loan’s principal amount at closing in fees, including the origination fee and third-party costs like title insurance. It’s possible to wrap these fees into the loan and pay them off gradually, but doing so will cost you in the long run: They increase the loan amount, so you'll wind up paying more in interest.

Additional mortgage resources

Mortgage resources: Explore the latest mortgage news and expert advice from Bankrate
How to get the best mortgage rate: When you’re ready to buy, these tips can help you find the best rate
Amortization calculator: Use Bankrate’s calculator to preview your loan amortization schedule and payoff date
How to get a mortgage: Prepare to apply for a mortgage with Bankrate’s 10-step guide

Written by

Jeff Ostrowski Jeff Ostrowski

Writer and Housing Market Analyst

Current 20-year mortgage rates