Which rate would you go for?

[Jonathan Yeh]

Hey guys, I've recently purchased a preconstruction (Alberta, Canada), and my mortgage guy offered me two rates, and I need some of your expertise in this.

1. 25 year period at fixed 2.54%, which comes down to about $1548 a month for 5 years period.
2. 30 year period at fixed 2.87% which comes down to about 1371 a month for 5 years period.

option 1 has total interest: around 118k
option 2 has total interest: around 160k

I've always thought to lock it down at 30 years cause someone else is paying for that hence higher cash flow, but the mortgage guy is recommending at 25 years because of the low rate. what do u think?