Laredo 15 year mortgage rates

THE PROS OF THE 15 YEAR FIXED-RATE MORTGAGES IN LAREDO

Taking up a mortgage loan is one of the biggest burdens US citizens bear throughout their lives, especially those who are low income earners. In Laredo, Texas, the population comprises of the first class making up a very small percentage while the middle and lower class make up the largest percentage of the total population. Therefore, most of them clearly rely on mortgages as their most ideal way of home financing. When taking up a mortgage loan, one has to make several decisions as to which course of action is best for them to take. One of these decisions is whether to take up a fixed-rate mortgage or an adjusted-rate mortgage. Both alternatives have their advantages and disadvantages. Those who go for fixed-rate mortgages are usually looking for stable monthly payments because there are certain challenges that rise from paying fluctuating payments. Once one has chosen a fixed-rate mortgage, they again have to decide how long a term they will be able to complete the payments in. Different people choose different terms according to their ability to pay various monthly payment amounts as well as their willingness to pay different interest charges. For those who choose the 15 year fixed mortgage rates in Laredo, the pros include:

  1. You clear off your mortgage faster– Taking up a 15 year FRM means that you will be able to fully clear your loan (because they are fully amortized) in just 15 years. This means that you clear your mortgage faster than those who take up a 30 year mortgage or more. This also means that you won’t be burden by your mortgage loan debt for nearly half of your life.
  2. Your home equity builds up faster– your home equity builds up depending on how fast you pay off your loan. Taking a 15 year mortgage enables your equity to build up very fast, giving you the ability to take up refinance loans that use your home equity as collateral e.g. the cash-out refinance loans.
  3. You get a lower interest rateLaredo 15 yr mortgage rates allows you to get a lower interest rate than those who take up loans at longer terms. Most of your payments therefore go towards the completion of your loan and not towards interest payments. 
  4. You pay lower interest over the life time of the loan- Paying high interest can be a nightmare for most home buyers because you end up paying a lot higher than the initial loan amount. This can be strife for most homebuyers. It is therefore better to take up a mortgage at a shorter term i.e. 15 years because you get smaller interest charges and end up paying less interest charges.

These are some of the major benefits of taking up a 15 year fixed-rate mortgage over the 30/40/50 year fixed-rate mortgages.