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Updated almost 9 years ago,
15 year vs 30 year on 96K rental income
Hi all! I'm in process of closing on a 96k rental property and trying to decide btw 15 and 30 year mortgage. Below are numbers:
Purchase price: 96,000
Down payment: 20%
Interest rate: 3.125% on 15 yr, 3.85 on 30 yr
Monthly payment on 15: $845
Initial portion towards interest: $208
Monthly payment on 30: $670
Initial portion towards interest: $257
I know the conventional thought is to always opt for the 30 year. But with these numbers, does it make more sense to go for the 15 year? Only about $100 once interest payment is deducted. Thanks in advance!