Mortgage Rates in Arkansas
Compare 15 year mortgage interest rates in Northwest Arkansas. NwaLending.com uses different lenders to find the best rates for residents of Arkansas.
30-year fixed-rate mortgages are the most widely used home financing tool. In fact, most first time home buyers will finance their homes for 30 years to make their payments more affordable. The Mortgage Bankers Association, says that the majority of home buyers that apply for mortgages will choose the 30-year fixed rate: Data shows in early 2015, more than 66% of all mortgage applications (includes refinance), and 86% of all home purchase loans.
Affordability is why most choose 30 year . So, why choose a 15 year mortgage? Interest rates are typically lower and interest paid over the duration of the loan can be significantly less. For example interest on a 30 year fixed rate at 4.25% for a 250,000 loan amount is $192,745. Interest on a 15 year fixed rate at 3.875% would be a mere $80,159. That is a savings of $112,586 and a lot of money. Rarely do people stay in their homes for 30 or 15 years, but the numbers don’t lie. If you are savvy and can afford the additional $658 per month in payment it is worth a look.