15 vs 30 Year Mortgage — Texas Trust Mortgage
TEXAS TRUST MORTGAGE

15-Year vs 30-Year Mortgage

Compare the payment, interest, and total cost of each loan — plus the value of the interest saved and what the monthly savings could grow to if invested.

15-Year Loan 180 payments
$
%
$
Dollar cost to permanently buy down the rate
30-Year Loan 360 payments
$
%
$
Dollar cost to permanently buy down the rate
Per loan
15-Year
30-Year
Monthly P&I payment
$0
$0
Discount points cost
$0
$0
Total interest paid
$0
$0
Total cost of loanprincipal + interest + points
$0
$0

The 15-year advantage

Interest saved with the 15-year
$0
30-year total interest minus 15-year total interest
NPV of the interest saved
$0
%
Interest saved spread level over a 15-year term, discounted to today.

Invest the monthly difference

Monthly savings on the 30-year (its lower payment vs the 15-year): $0/mo. Below: what that amount could grow to if invested each month at your assumed return.

%
Invested for
Interest saved (15-yr)
Payment Savings (30-yr)

Interest saved by the 15-year vs. the growing value of the invested difference, through the 15-year payoff. The 15 year spike of blue line is saving the next 15 years of interest on a 30 year mortgage.

Interest saved (15-year) Invested difference (future value)
How this works & assumptions Discount points are entered as the dollar cost to permanently buy down the rate and are added to that loan's total cost. Interest saved is the 30-year's total interest minus the 15-year's. Its NPV assumes that savings is realized evenly across a 15-year term and discounts it to today at your chosen rate. Invest the difference takes the monthly payment savings (the 15-year payment minus the 30-year payment) and grows it as monthly deposits; your compounding selection sets how often interest is credited, so more frequent compounding yields a higher balance at the same annual return. Estimates only — not investment, tax, or lending advice, not a Loan Estimate or offer to lend; investment returns are hypothetical, not guaranteed, and exclude taxes and fees. Texas Trust Mortgage · texastrustmortgage.com