Home » Home Purchase »
Determine the Right Term
Determining the Best Mortgage Term
Choosing the mortgage term that is right for you can be a challenging proposition for even the savviest of homebuyers.
By understanding mortgage terms and what they mean in dollars and sense, you can save the most money and choose the term that is right for you.
There are many factors, either in the financial markets or in your own life, which you will also have to take into consideration when you select your mortgage term length.
If paying your mortgage each month places you close to the financial edge of your comfort zone, you may want to opt for a longer term mortgage, for instance ten years, so that you can ensure that you will be able to afford your mortgage payments should the interest rates increase. By the end of a ten year mortgage term, most buyers are in a better financial situation, have a lower principle balance due, and should interest rates have risen, will be able to afford higher mortgage payments.
If you are shopping for a mortgage for an investment property, you will likely want to consider choosing a longer mortgage term. This will allow you to know that the mortgage payments on the property will be steady for a long time and allow you to more accurately project your future income from the property.
Choosing the right mortgage term is a unique decision for each individual. By understanding your personal financial situation and your tolerance for risk, a mortgage professional can assist you in choosing the mortgage term which will work the best.
Testimonials
See What Our Clients Are Saying
“Blue Water Mortgage made buying our first home easy and stress-free. From the moment we reached out, their team was friendly, professional, and incredibly knowledgeable. We couldn't be happier with the service and support we received—highly recommend them to anyone buying a home in Canada!”
Jenna & MarkHomeowner
“I recently refinanced my mortgage with Gate to Mortgage, and I couldn't be happier with the results. They helped me secure a lower interest rate and reduce my monthly payments, saving me thousands of dollars over the life of my loan. I highly recommend their services to anyone looking to refinance.”
David L.Homeowner
“Gate to Mortgage made the home buying process so much easier for me. As a first-time buyer, I had a lot of questions and concerns, but their team guided me through every step of the process with patience and expertise. Thanks to them, I'm now a proud homeowner!”
Jessica S.First-Time Homebuyer
