For the buyer who wants to pay off their mortgage quickly while reducing how much total interest they pay, the 10-year mortgage offers an opportunity to do that.

To find out if a 10-year mortgage is right for you, do the math using a mortgage calculator.

Get the latest interest rates for 10-year fixed rate mortgages here. Be sure to check back regularly, as rates change.

What is a 10-year fixed-rate mortgage?

A 10-year fixed-rate mortgage means you agree to pay off the loan in at least 10 years with an interest rate that doesn’t change throughout the life of the loan.

What are the advantages of a 10-year fixed-rate mortgage?

The 10-year mortgage is not as widely sought as 30-year or 15-year mortgages. A 10-year mortgage rate, however, can be lower than other options, saving you money over the long term.

Borrowers opt for these terms when they can afford the hefty monthly payments. Paying off a mortgage in 10 years also allows folks to minimize the amount of interest they pay while shedding mortgage debt faster.

People approaching retirement might choose this option so that they can finish paying off their loan before transitioning to a fixed income.

What are the disadvantages of a 10-year fixed-rate mortgage?

The most significant drawback to a 10-year fixed-rate mortgage is that the monthly payments will be larger than loans with longer terms.

Another drawback is that if you can’t keep up with the big monthly payments, then you might have to refinance into a mortgage with longer terms and possibly higher rates.

Comparing 10 and 30 year fixed rate mortgages

Before you choose a mortgage, crunch the numbers to make sure the terms and monthly payments work for your budget and goals.

Here’s a simple calculation for a $200,000 mortgage without a down payment:

10-year fixed vs. 30-year fixed

10-year 30-year
Loan amount $200,000 $200,000
Interest rate 4.00% 4.50%
Loan term (months) 120 360
Monthly loan payment $2,024 $1,013
Interest over first 5 years $31,077 $43,118
Total interest $43,012 $164,813

*Interest rates differ because 10-year fixed rate mortgages typically have lower interest rates than a 30-year fixed rate.Your monthly payments are $1,011 lower with a 30-year loan, but you pay an additional $121,801 in interest over the life of the loan.

Don’t forget to factor in property taxes, mortgage insurance (if you put less than 20% down), homeowners insurance, HOA fees, utilities and maintenance expenses when setting your monthly housing budget.

Remember that the mortgage rate you qualify for varies depending on your down payment amount, credit profile, income and other factors.

Learn more about how to get the best mortgage rate.

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