To compare mortgage terms fairly, keep the loan amount and interest rate consistent while changing only the repayment period. For example, you could compare a 15-year, 20-year, and 30-year mortgage to see how the monthly payment and total interest change. A shorter term generally results in a higher monthly payment but can reduce the number of years you pay interest. A longer term generally lowers the scheduled monthly payment but may result in substantially more interest over the full repayment period. Your actual available rates can also differ between loan terms, so real-world comparisons may require updated loan estimates. You can use a 15-year mortgage calculator and 30-year mortgage calculator to compare common options. Looking at both monthly affordability and total borrowing cost gives you a better basis for choosing a term.
