Say you have a 15-year, $200,000 mortgage at 3.5% (the same rate as above). You’d pay just $57,358 in total interest. At a 5% interest rate, you’d pay $84,686 in interest over the life of the loan. You’ll also pay back your own financial far before than you would with a 30-year loan.

At the beginning of your loan term, the majority of your monthly payment goes toward paying this interest. Only a small amount goes toward principal. Leer Más →