Submitted by These_Bit2148 t3_10k7yul in personalfinance
582k house. 320k down. 5.875% for 30 and 5.25 for 15yr. We make 120k/yr. No debt and average to below average expenses. We would probably pay $200-250 extra on the 30yr but not on the 15yr.
I’m not familiar with how much rate disparity there normally is from 15 to 30 so I’m not sure what the current rates and circumstances says about our decision. I’m also not sure how much money we’d waste by doing the 30 and paying extra on the monthly but having the higher interest rate of the longer loan.
Anyone good with numbers who can help me make this a bit clearer?
We are also somewhat transient and there is a chance we may not live in the house the full 15-30 years. Most likely we would move in 3-10 years if I look at our past life history, even though thats not a certainty or anything. Just life happens. Jobs etc.