Predictable payments. Long-term peace of mind.

A fixed-rate mortgage locks in your interest rate for the entire loan term — most commonly 15, 20, or 30 years. Your principal-and-interest payment never changes, no matter what happens to interest rates or the broader economy.

How it works

Each monthly payment is calculated using the standard mortgage amortization formula so that the balance is fully paid off by the end of the term. Early payments consist mostly of interest; over time, more of each payment goes toward principal.

Pros

• Payment certainty — budget confidently for decades.
• Protection from rising rates.
• Simple to understand and refinance later if rates fall.

Cons

• Higher initial rate than an ARM's introductory period.
• If rates fall dramatically, you'll need to refinance to benefit.

Who it's best for

Buyers who plan to stay in the home for many years, and anyone who values predictability. If you're not sure whether a fixed rate or ARM makes more sense for you, we'll model both side-by-side.