When should I get a 30-year loan?

The traditional 30-year fixed rate mortgage has a constant interest rate with monthly payments that never change for both Conforming and Jumbo loan programs. This may be a good choice if you plan to stay in your home for seven years or longer. If you plan to move within seven years, adjustable rate loans are usually more cost effective.

As a rule of thumb, fixed rate loans may be harder to qualify for than adjustable rate loans. When interest rates are low, fixed rate loans are generally not that much more expensive than adjustable rate mortgages and may be a better deal in the long run because you can lock in the rate for the life of your loan.