As mortgage rates continue to stay low, more and more homeowners are considering 15-year fixed-rate loans as an attractive way to pay off their homes in a fraction of the time. While 15-year fixed-rate loans usually come with higher payments than their 30-year counterparts, the benefits of having these loans in the long run significantly outweigh the short-term challenges.

One great benefit of getting a 15-year fixed-rate loan is that it gives homebuyers the opportunity to benefit from an even lower interest rate over the life of the loan. Since the payment is spread out over a shorter period of time, the interest charges on a 15-year loan tend to be lower than that of a 30-year loan. As a result, homeowners who opt for a 15-year loan can save much more money in interest payments over the life of the loan, netting them significant long-term savings.

Another advantage to a 15-year fixed-rate loan is that it allows homeowners to pay off their loans in half the time of a 30-year mortgage, at a relatively low additional cost. Many homeowners find that, despite the higher payment, they are able to free themselves from the burdens of their mortgages with more urgency and speed than with a longer-term loan. This allows them to pay off their loan more quickly, and also puts them in a better position to move on to their next real estate investment.

Finally, when comparing the two loan terms, homeowners should consider the lower risk associated with a 15-year fixed-rate loan. The longer term of a 30-year loan often means that homeowners may find it difficult to pay off in the event of an emergency or other unexpected circumstance. With the shorter term of a 15-year loan, users are able to more easily pay off their loan in full if the need arises. This can provide peace of mind to homeowners who are looking to secure their finances in the long-term.

Overall, 15-year fixed-rate loans are a great option for homeowners who are looking for a low-risk way to pay off their homes in a shorter period of time. With the lower interest rates and the shorter-term of the loan, homeowners are able to save more money in the long-term and are in a better position to tackle their next real estate investment.