How long should my mortgage term be?

April 23, 2014 By Hatch Mortgages

You can get a mortgage with a term of anywhere from six months to 10 years. Remember: the shorter the term, the lower the interest rate. A short-term mortgage might be the best option if you are:

  • planning to sell your property shortly and rent a home instead; or
  • willing to follow interest rates closely and risk having higher mortgage payments after a renewal.

A longer-term mortgage might be preferable if you are:

  • a first-time homebuyer looking for security; or
  • willing to trust that interest rates will not go lower in the near future.