Refinance rates, an in-depth look, an in-depth exploration
Doubling the term more than doubles the amount of interest you will pay over the term of the loan, but drops your monthly payments by only $252, or less than a third. If your family is going through a financial rough spot, then that $252 may create enough wiggle room in your budget to see you through, and may even make it possible for you to keep your house. However, once the rough patch is over, you should consider paying extra each month to reduce the total amount you will spend on your mortgage. Spending less on your home mortgage is simple, but it requires a tradeoff. If you want to save money in the long term, you must spend more money in the present.