{"id":84933,"date":"2021-03-05T09:30:00","date_gmt":"2021-03-05T16:30:00","guid":{"rendered":"https:\/\/www.biggerpockets.com\/renewsblog\/?p=84933"},"modified":"2023-03-22T02:06:22","modified_gmt":"2023-03-22T08:06:22","slug":"mortgage-15-year-or-30","status":"publish","type":"post","link":"https:\/\/www.biggerpockets.com\/blog\/mortgage-15-year-or-30","title":{"rendered":"What\u2019s Better for Investors\u2014a 15-Year or 30-Year Mortgage?"},"content":{"rendered":"\n\n      <iframe loading=\"lazy\" frameborder=\"0\" height=\"200\" scrolling=\"no\" src=\"https:\/\/playlist.megaphone.fm\/?e=BIGPOC5357468802\" width=\"100%\"><\/iframe>  \n\n\n\n\n<p>Many home buyers and real estate investors wonder whether they should go with a 15-year or 30-year mortgage term.<\/p>\n\n\n\n<p>Different financial experts will advocate for different loans\u2014and they&#8217;ll be right for different scenarios, too. What\u2019s the difference between them\u2014beyond the fact that one lasts for 15 years and the other for 30?<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Real estate financing: Key definitions<\/h2>\n\n\n\n<p>Before we continue, let\u2019s get into four key definitions that might clarify your decision-making.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\">What is amortization?<\/h3>\n\n\n\n<p>Amortization is the reduction of debt over a specific time period.<\/p>\n\n\n\n<p>When it comes to fixed-rate real estate mortgages, a mortgage payment will include the interest payment and the principal payment, which is what directly reduces the amount of the loan down.<\/p>\n\n\n\n<p>Usually, the initial years of the loan will have higher interest payments and lower principal payment. During the later years of the loan, the opposite applies.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\">What is PITI (principal, interest, taxes, and insurance)?<\/h3>\n\n\n\n<p>Most times, mortgages come with an escrow account set up by the lender, which allows the lender to pay your property taxes and insurance premiums on your behalf. The addition of these components make up the acronym PITI:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Principal<\/li>\n\n\n\n<li>Interest<\/li>\n\n\n\n<li>Taxes<\/li>\n\n\n\n<li>Insurance<\/li>\n<\/ul>\n\n\n\n<p>This is valuable when considering the different interest rates and tax deductions of each mortgage option.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\">What does net operating income mean?<\/h3>\n\n\n\n<p>For the real estate investor, net operating income (NOI) is guided by a simple formula:<\/p>\n\n\n\n<p><em>NOI = revenue from a property (i.e., rental income) \u2013 operating expenses<\/em><\/p>\n\n\n\n<p>Examples of operating expenses include vacancy reserve, management fees, utilities, and rental licenses.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\">What is cash flow after financing?<\/h3>\n\n\n\n<p>Cash flow after financing is a little different than your standard cash flow, which simply calculate your net proceeds each month.<\/p>\n\n\n\n<p>This metric takes financing expenses into account. In this case, because we are considering two financing options\u2014a 30- and a 15-year mortgage\u2014it is important to consider your cash flow <em>after<\/em> financing as opposed to before. That will help you understand the true bottom-line benefit of each option.<\/p>\n\n\n\n<p><em>Cash flow after financing = Net operating income (NOI) \u2013 CapEx reserves \u2013 financing costs<\/em><\/p>\n\n\n\n<p>CapEx\u2014or capital expenditures\u2014is where you budget for big-ticket system breakage\u2014like replacing a roof or HVAC system. All investors should calculate this for their properties before buying.<\/p>\n\n\n\n<p>But regular homebuyers should pay attention to CapEx, too. It will help you understand how much you need to keep in your savings. After purchasing a home, you should set cash aside for repairs or replacements, depending on the condition of the house.<\/p>\n\n\n\n<hr class=\"wp-block-separator has-css-opacity\"\/>\n\n\n\n<div id=\"hero-block_62df1a82bfc88\" class=\"first:mt-0 hero-block py-4    has-background has-slate-200-background-color has-text-color has-theme-gold-color\">\n    <div\n        class=\" flex flex-wrap lg:flex-nowrap max-w-screen-xl mx-auto px-4 relative lg:items-center \">\n\n        <div class=\"relative z-30 w-full \">\n            <main class=\"py-4\">\n                \n\n<p class=\"has-slate-800-color has-text-color has-large-font-size\" style=\"font-style:normal;font-weight:800\">Free Real Estate Webinars<\/p>\n\n\n\n<p class=\"my-3 md:my-5 lg:my-8 has-slate-900-color has-text-color\" style=\"font-size:16px\">Shortcut the learning curve by attending a BiggerPockets webinar. Hosted by expert real estate investors, you&#8217;ll learn how to master the basics and get tips for finding your next deal. Check out what&#8217;s available and register for an upcoming session!<\/p>\n\n\n\n<div id=button-custom-event-block_6418deb7ecd3a class='button-custom-event'>\n      <a href=\"https:\/\/www.biggerpockets.com\/webinars\" x-on:click=\"window.analytics.track(&#039;Block Block | Subscriptions | Webinars&#039;, {\n      referrer: &#039;https:\/\/www.biggerpockets.com\/blog\/mortgage-15-year-or-30&#039;,\n    });\" class=\" btn-shape inline-block no-underline has-background has-theme-blue-background-color has-text-color has-white-color\" target=\"_blank\">Register for an upcoming webinar<\/a>\n  <\/div>\n\n            <\/main>\n        <\/div>\n\n                <div class=\" first:mt-0 relative h-full lg:flex lg:items-center\">\n            <img decoding=\"async\" class=\"object-cover w-full relative z-20 my-0  shadow-xl rounded-md hidden lg:block\" src=\"https:\/\/www.biggerpockets.com\/blog\/wp-content\/uploads\/2022\/08\/Untitled-design-20.png\" alt=\"register for a free webinar\" title=\"\">\n        <\/div>\n            <\/div>\n<\/div>\n\n\n<hr class=\"wp-block-separator has-css-opacity\"\/>\n\n\n\n<h2 class=\"wp-block-heading\">The key advantages of a 15-year mortgage<\/h2>\n\n\n\n<p>A 15-year mortgage might be a great choice for you depending on your goals, and here\u2019s why.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\">1. Pay it off faster<\/h3>\n\n\n\n<p>The time it takes to pay a 15-year mortgage off is significantly shorter, but it comes with a higher monthly payment.<\/p>\n\n\n\n<p>However, for some buyers, a short loan-life could hold advantages beyond simply paying the mortgage off faster.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\">2. Build equity faster<\/h3>\n\n\n\n<p>With a higher monthly payment, your money is building more equity in the home and paying off more of the principal.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\">3. Fewer fees<\/h3>\n\n\n\n<p>Since 15-year mortgages are paid off quicker than 30-year mortgage loans, the banks consider these loans less risky to approve.<\/p>\n\n\n\n<p>From the lender\u2019s perspective, less risk means fewer fees to collect.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\">4. Lower interest rates<\/h3>\n\n\n\n<p>Because 15-year mortgages are less risky, banks set lower interest rates for their short loan life compared to 30-year mortgages.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Advantages to a 30-year mortgage<\/h2>\n\n\n\n<p>Low-risk leveraging might be your friend, whether you are a first time homebuyer or a long-term investor. Although 15-year mortgages are less risky for banks, 30-year mortgages are less risky for homebuyers.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\">1. Lower monthly payments<\/h3>\n\n\n\n<p>With a longer loan period comes lower monthly payments, since the loan amount is spread out over more time.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\">2. Higher tax deductions<\/h3>\n\n\n\n<p>Mortgage interest payment tax deductions are higher for a 30-year mortgage due to the higher interest paid. While this isn\u2019t a major advantage, it is definitely something to consider when doing an analysis.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\">3. More monthly income available for other savings goals<\/h3>\n\n\n\n<p>Whether you are investing or aim to save more cash, a 30-year mortgage increases the amount of money available to help you reach these goals each month. Your monthly mortgage payment will be considerably lower for a 30-year mortgage, as your loan is amortized over a longer period compared to a 15-year mortgage.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">So what\u2019s better\u2014a 15- or 30-year mortgage?<\/h2>\n\n\n\n<p>Both loan options have advantages, but how do you know which one is the best choice for you?<\/p>\n\n\n\n<h3 class=\"wp-block-heading\">Know your goals<\/h3>\n\n\n\n<p>What are your goals for the property? And how does that fit into your overall goals for your life or for retirement?<\/p>\n\n\n\n<p>For an investment property, are you wanting more income and cash flow to save more for your children\u2019s college? A 30-year mortgage might be for you. Or would you rather build equity fast for your personal residence, so you can avoid paying a mortgage during your retirement? You may want a 15-year mortgage.<\/p>\n\n\n\n<p>Plus, it\u2019s a good idea to consider what payment you may or may not be able to afford in the future.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\">Consider change<\/h3>\n\n\n\n<p>Staying aware of possible life changes goes a long way regarding your finances and investment decisions.<\/p>\n\n\n\n<p>For example, you can send a higher monthly payment for a 30-year mortgage. But you can\u2019t send in the <em>lower<\/em> payment for a 15-year mortgage. That\u2019s where flexibility comes into play.<\/p>\n\n\n\n<p>Also, if, heaven forbid, something bad were to happen\u2014such as job loss, a family issue, or a health problem\u2014could you ensure that you and your family would still be able to afford the higher monthly payment? This is an important consideration, as are other ways to insure your investments or your nest egg (i.e. disability and life insurance).<\/p>\n\n\n\n<p>But what if your goal is still to pay off the property sooner and save on interest?<\/p>\n\n\n\n<h3 class=\"wp-block-heading\">Pay extra, if you wish<\/h3>\n\n\n\n<p>While you may not be able to get it down to <em>exactly<\/em> 15 years by making additional payments on a 30-year mortgage, you could still knock years off of the life of the loan.<\/p>\n\n\n\n<p>For example, let\u2019s say you were to sign up for biweekly mortgage payments. You would essentially be making 13 monthly payments\u2014or 26 biweekly payments\u2014instead of 12. That extra payment would go towards the principal of the loan, reducing both the loan balance and the amount interest charged over the life of loan.<\/p>\n\n\n\n  <div id=\"posts_lists-block_6067795d2f94f\" class=\"  my-10\">\n    <div class=\"\">\n      <!-- Column One -->\n      <div>\n                  <h2 class=\"mt-0 mb-1 js-toc-ignore\">\n            Real Estate Financing          <\/h2>  \n                  \n                  <div class=\"mt-1 mb-0 text-sm mb-2 excerpt\">\n            Financing real estate can be one of the biggest challenges for both new and experienced investors alike.          <\/div>\n        \n                  <a href=\"https:\/\/www.biggerpockets.com\/blog\/category\/real-estate-financing\" class=\"no-underline text-themeBlue-medium hover:underline uppercase font-semibold text-sm\" target=\"_blank\">Real Estate Financing<\/a>\n        \n        <div class=\"grid grid-cols-1 gap-y-4 lg:gap-y-7 mt-5\">\n          \n<article \n\tid=\"post-187385\" \n\tclass=\"content-card mb-0 flex flex-col  post-187385 post type-post status-publish format-standard has-post-thumbnail hentry category-real-estate-financing\">\n\n\t<header class=\"entry-header\">\t\t\t\n\t\t<!-- Image -->\n        \t\t\t<a class=\"post-thumbnail\" href=\"https:\/\/www.biggerpockets.com\/blog\/why-30-day-dscr-closings-are-no-longer-fast-enough-and-whats-replacing-them\" target=\"_blank\" aria-hidden=\"true\" tabindex=\"-1\">\n\t\t\t\t<img loading=\"lazy\" decoding=\"async\" width=\"340\" height=\"225\" src=\"https:\/\/www.biggerpockets.com\/blog\/wp-content\/uploads\/2024\/06\/dscr-rates_canva-340x225.jpg\" class=\"size-card w-full  m-0 aspect-[68\/45] object-scale-down wp-post-image\" alt=\"Why 30-Day DSCR Closings Are No Longer Fast Enough (And What&#8217;s Replacing Them)\" title=\"\">\t\t\t<\/a>\n\t\t        \n\n\t\t<!-- Content Wrapper -->\n\t\t<div class=\"py-4 \">\t\n                            <div class=\"flex gap-4 justify-between items-center\">\n                    <!-- Category  -->\n                                            <a href=\"https:\/\/www.biggerpockets.com\/blog\/category\/real-estate-financing\" class=\"transition-colors bg-themeBlue\/20 text-themeBlue-medium hover:bg-themeBlue hover:text-white px-2 py-1 mb-2 inline-block rounded-sm no-underline text-sm\" target=\"_blank\">Real Estate Financing<\/a>\n                    \n                                            <span class=\"text-sm text-gray-500 hidden lg:inline-block\">4 min read<\/span>\n                                    <\/div>\n            \n           <div class=\"flex gap-3 items-center my-2 flex-nowrap text-base\">\n                <!-- Avatar and Author Name -->\n                <img decoding=\"async\" src=\"https:\/\/bp-wp-migration.s3.amazonaws.com\/author_avatars\/273816.jpg\" class=\"w-8 h-8 object-cover my-0 inline-block rounded-full\" alt=\"\" title=\"\"><span class='leading-snug text-slate-500 flex items-center'><span class='hidden whitespace-nowrap sm:inline-block md:hidden lg:inline-block pr-1'><span class='posted-on'><time class=\"entry-date published\" datetime=\"2026-03-31T07:15:52-06:00\">Mar 31, 2026<\/time><time class=\"updated\" datetime=\"2026-03-31T07:15:55-06:00\">Mar 31, 2026<\/time><\/span><\/span>&nbsp;<a href=\"https:\/\/www.biggerpockets.com\/blog\/contributors\/ashleykehr\" class=\"no-underline line-clamp-1\" target=\"_blank\">Ashley Kehr<\/a><\/span>            <\/div>\n\n            <!-- Post title -->\n\t\t\t<h2 class=\"entry-title js-toc-ignore mt-4 mb-0 text-xl leading-snug text-left\">\n\t\t\t\t<a href=\"https:\/\/www.biggerpockets.com\/blog\/why-30-day-dscr-closings-are-no-longer-fast-enough-and-whats-replacing-them\" rel=\"bookmark\" class=\"whitespace-normal no-underline font-bold  text-slate visited:text-slate hover:text-themeBlue\" target=\"_blank\">\n\t\t\t\t\tWhy 30-Day DSCR Closings Are No Longer Fast Enough (And What&#8217;s Replacing Them)\t\t\t\t<\/a>\n\t\t\t<\/h2>\n\t\t\t\n                        <p class=\"text-lg font-normal mt-3 text-slate-500 mb-1 line-clamp-3\">This article is presented by Dominion Financial. DSCR loans were supposed to solve the financing problem for real estate investors. And in many ways, they did. Before DSCR lending became&hellip;<\/p>\n\t\t<\/div>\n\t<\/header>\n     <footer class=\"flex justify-between mt-auto\">\n        <!-- Comment Count -->\n        \t\t<span class='flex items-center space-x-2 text-sm' x-cloak x-data='commentCount()' :class=\"parseFloat(commentCount) < 1 || commentCount == '' ? 'hidden' : 'flex'\">\n\t\t\n            <svg xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"h-5 w-5 text-slate text-opacity-50\" fill=\"none\" viewBox=\"0 0 24 24\" stroke=\"currentColor\">\n                <path stroke-linecap=\"round\" stroke-linejoin=\"round\" stroke-width=\"2\" d=\"M17 8h2a2 2 0 012 2v6a2 2 0 01-2 2h-2v4l-4-4H9a1.994 1.994 0 01-1.414-.586m0 0L11 14h4a2 2 0 002-2V6a2 2 0 00-2-2H5a2 2 0 00-2 2v6a2 2 0 002 2h2v4l.586-.586z\" \/>\n            <\/svg>\n\n            <span x-ref=\"comment_count\" class=\"disqus-comment-count text-slate text-opacity-80\" data-disqus-identifier=\"187385\">\n\t\t\t\t\t\t\t<\/span>\n        <\/span>\n\t    <\/footer>\n<\/article><!-- #post-187385 -->\n<article \n\tid=\"post-186926\" \n\tclass=\"content-card mb-0 flex flex-col  post-186926 post type-post status-publish format-standard has-post-thumbnail hentry category-real-estate-financing\">\n\n\t<header class=\"entry-header\">\t\t\t\n\t\t<!-- Image -->\n        \t\t\t<a class=\"post-thumbnail\" href=\"https:\/\/www.biggerpockets.com\/blog\/explaining-dscr-loans-and-why-many-new-investors-overlook-them\" target=\"_blank\" aria-hidden=\"true\" tabindex=\"-1\">\n\t\t\t\t<img loading=\"lazy\" decoding=\"async\" width=\"340\" height=\"225\" src=\"https:\/\/www.biggerpockets.com\/blog\/wp-content\/uploads\/2024\/06\/dscr-rates_canva-340x225.jpg\" class=\"size-card w-full  m-0 aspect-[68\/45] object-scale-down wp-post-image\" alt=\"DSCR Loans: The Financing Strategy Many New Investors Overlook\" title=\"\">\t\t\t<\/a>\n\t\t        \n\n\t\t<!-- Content Wrapper -->\n\t\t<div class=\"py-4 \">\t\n                            <div class=\"flex gap-4 justify-between items-center\">\n                    <!-- Category  -->\n                                            <a href=\"https:\/\/www.biggerpockets.com\/blog\/category\/real-estate-financing\" class=\"transition-colors bg-themeBlue\/20 text-themeBlue-medium hover:bg-themeBlue hover:text-white px-2 py-1 mb-2 inline-block rounded-sm no-underline text-sm\" target=\"_blank\">Real Estate Financing<\/a>\n                    \n                                            <span class=\"text-sm text-gray-500 hidden lg:inline-block\">5 min read<\/span>\n                                    <\/div>\n            \n           <div class=\"flex gap-3 items-center my-2 flex-nowrap text-base\">\n                <!-- Avatar and Author Name -->\n                <img decoding=\"async\" src=\"https:\/\/www.biggerpockets.com\/blog\/wp-content\/uploads\/2022\/07\/cropped-profile_small-150x150.jpg\" class=\"w-8 h-8 object-cover my-0 inline-block rounded-full\" alt=\"\" title=\"\"><span class='leading-snug text-slate-500 flex items-center'><span class='hidden whitespace-nowrap sm:inline-block md:hidden lg:inline-block pr-1'><span class='posted-on'><time class=\"entry-date published\" datetime=\"2026-02-23T07:26:38-07:00\">Feb 23, 2026<\/time><time class=\"updated\" datetime=\"2026-02-23T07:26:40-07:00\">Feb 23, 2026<\/time><\/span><\/span>&nbsp;<a href=\"https:\/\/www.biggerpockets.com\/blog\/contributors\/annacottrell\" class=\"no-underline line-clamp-1\" target=\"_blank\">Anna K. Cottrell<\/a><\/span>            <\/div>\n\n            <!-- Post title -->\n\t\t\t<h2 class=\"entry-title js-toc-ignore mt-4 mb-0 text-xl leading-snug text-left\">\n\t\t\t\t<a href=\"https:\/\/www.biggerpockets.com\/blog\/explaining-dscr-loans-and-why-many-new-investors-overlook-them\" rel=\"bookmark\" class=\"whitespace-normal no-underline font-bold  text-slate visited:text-slate hover:text-themeBlue\" target=\"_blank\">\n\t\t\t\t\tDSCR Loans: The Financing Strategy Many New Investors Overlook\t\t\t\t<\/a>\n\t\t\t<\/h2>\n\t\t\t\n                        <p class=\"text-lg font-normal mt-3 text-slate-500 mb-1 line-clamp-3\">This article is presented by Figure. One of the most asked questions by rookie investors is, \u201cHow do I grow my portfolio if my income is low or unstable?\u201d&nbsp; Obviously,&hellip;<\/p>\n\t\t<\/div>\n\t<\/header>\n     <footer class=\"flex justify-between mt-auto\">\n        <!-- Comment Count -->\n        \t\t<span class='flex items-center space-x-2 text-sm' x-cloak x-data='commentCount()' :class=\"parseFloat(commentCount) < 1 || commentCount == '' ? 'hidden' : 'flex'\">\n\t\t\n            <svg xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"h-5 w-5 text-slate text-opacity-50\" fill=\"none\" viewBox=\"0 0 24 24\" stroke=\"currentColor\">\n                <path stroke-linecap=\"round\" stroke-linejoin=\"round\" stroke-width=\"2\" d=\"M17 8h2a2 2 0 012 2v6a2 2 0 01-2 2h-2v4l-4-4H9a1.994 1.994 0 01-1.414-.586m0 0L11 14h4a2 2 0 002-2V6a2 2 0 00-2-2H5a2 2 0 00-2 2v6a2 2 0 002 2h2v4l.586-.586z\" \/>\n            <\/svg>\n\n            <span x-ref=\"comment_count\" class=\"disqus-comment-count text-slate text-opacity-80\" data-disqus-identifier=\"186926\">\n\t\t\t\t\t\t\t<\/span>\n        <\/span>\n\t    <\/footer>\n<\/article><!-- #post-186926 -->\n<article \n\tid=\"post-185147\" \n\tclass=\"content-card mb-0 flex flex-col  post-185147 post type-post status-publish format-standard has-post-thumbnail hentry category-real-estate-financing\">\n\n\t<header class=\"entry-header\">\t\t\t\n\t\t<!-- Image -->\n        \t\t\t<a class=\"post-thumbnail\" href=\"https:\/\/www.biggerpockets.com\/blog\/why-rate-buy-downs-make-sense\" target=\"_blank\" aria-hidden=\"true\" tabindex=\"-1\">\n\t\t\t\t<img loading=\"lazy\" decoding=\"async\" width=\"340\" height=\"225\" src=\"https:\/\/www.biggerpockets.com\/blog\/wp-content\/uploads\/2025\/10\/rate-buydown_canva-340x225.jpg\" class=\"size-card w-full  m-0 aspect-[68\/45] object-scale-down wp-post-image\" alt=\"Why Buying Down Your Interest Rate Makes a Lot of Sense\" title=\"\">\t\t\t<\/a>\n\t\t        \n\n\t\t<!-- Content Wrapper -->\n\t\t<div class=\"py-4 \">\t\n                            <div class=\"flex gap-4 justify-between items-center\">\n                    <!-- Category  -->\n                                            <a href=\"https:\/\/www.biggerpockets.com\/blog\/category\/real-estate-financing\" class=\"transition-colors bg-themeBlue\/20 text-themeBlue-medium hover:bg-themeBlue hover:text-white px-2 py-1 mb-2 inline-block rounded-sm no-underline text-sm\" target=\"_blank\">Real Estate Financing<\/a>\n                    \n                                            <span class=\"text-sm text-gray-500 hidden lg:inline-block\">5 min read<\/span>\n                                    <\/div>\n            \n           <div class=\"flex gap-3 items-center my-2 flex-nowrap text-base\">\n                <!-- Avatar and Author Name -->\n                <img decoding=\"async\" src=\"https:\/\/www.biggerpockets.com\/blog\/wp-content\/uploads\/2022\/04\/cropped-Tony02-1-scaled-1-150x150.jpg\" class=\"w-8 h-8 object-cover my-0 inline-block rounded-full\" alt=\"\" title=\"\"><span class='leading-snug text-slate-500 flex items-center'><span class='hidden whitespace-nowrap sm:inline-block md:hidden lg:inline-block pr-1'><span class='posted-on'><time class=\"entry-date published\" datetime=\"2025-10-10T12:08:23-06:00\">Oct 10, 2025<\/time><time class=\"updated\" datetime=\"2025-10-10T12:09:02-06:00\">Oct 10, 2025<\/time><\/span><\/span>&nbsp;<a href=\"https:\/\/www.biggerpockets.com\/blog\/contributors\/tonyrobinson\" class=\"no-underline line-clamp-1\" target=\"_blank\">Tony Robinson<\/a><\/span>            <\/div>\n\n            <!-- Post title -->\n\t\t\t<h2 class=\"entry-title js-toc-ignore mt-4 mb-0 text-xl leading-snug text-left\">\n\t\t\t\t<a href=\"https:\/\/www.biggerpockets.com\/blog\/why-rate-buy-downs-make-sense\" rel=\"bookmark\" class=\"whitespace-normal no-underline font-bold  text-slate visited:text-slate hover:text-themeBlue\" target=\"_blank\">\n\t\t\t\t\tWhy Buying Down Your Interest Rate Makes a Lot of Sense\t\t\t\t<\/a>\n\t\t\t<\/h2>\n\t\t\t\n                        <p class=\"text-lg font-normal mt-3 text-slate-500 mb-1 line-clamp-3\">This article is presented by Rent To Retirement. If you\u2019ve been waiting for mortgage rates to magically fall, 2025 might test your patience. The smarter move isn\u2019t hoping for cheaper&hellip;<\/p>\n\t\t<\/div>\n\t<\/header>\n     <footer class=\"flex justify-between mt-auto\">\n        <!-- Comment Count -->\n        \t\t<span class='flex items-center space-x-2 text-sm' x-cloak x-data='commentCount()' :class=\"parseFloat(commentCount) < 1 || commentCount == '' ? 'hidden' : 'flex'\">\n\t\t\n            <svg xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"h-5 w-5 text-slate text-opacity-50\" fill=\"none\" viewBox=\"0 0 24 24\" stroke=\"currentColor\">\n                <path stroke-linecap=\"round\" stroke-linejoin=\"round\" stroke-width=\"2\" d=\"M17 8h2a2 2 0 012 2v6a2 2 0 01-2 2h-2v4l-4-4H9a1.994 1.994 0 01-1.414-.586m0 0L11 14h4a2 2 0 002-2V6a2 2 0 00-2-2H5a2 2 0 00-2 2v6a2 2 0 002 2h2v4l.586-.586z\" \/>\n            <\/svg>\n\n            <span x-ref=\"comment_count\" class=\"disqus-comment-count text-slate text-opacity-80\" data-disqus-identifier=\"185147\">\n\t\t\t\t\t\t\t<\/span>\n        <\/span>\n\t    <\/footer>\n<\/article><!-- #post-185147 -->\n<article \n\tid=\"post-184884\" \n\tclass=\"content-card mb-0 flex flex-col  post-184884 post type-post status-publish format-standard has-post-thumbnail hentry category-real-estate-financing\">\n\n\t<header class=\"entry-header\">\t\t\t\n\t\t<!-- Image -->\n        \t\t\t<a class=\"post-thumbnail\" href=\"https:\/\/www.biggerpockets.com\/blog\/real-estate-investment-non-recourse-loans\" target=\"_blank\" aria-hidden=\"true\" tabindex=\"-1\">\n\t\t\t\t<img loading=\"lazy\" decoding=\"async\" width=\"340\" height=\"225\" src=\"https:\/\/www.biggerpockets.com\/blog\/wp-content\/uploads\/2024\/04\/loan_canva-340x225.jpg\" class=\"size-card w-full  m-0 aspect-[68\/45] object-scale-down wp-post-image\" alt=\"Non-Recourse Loans: No Credit Check, No Tax Returns, No Employment Verification? Yes, It\u2019s Real!\" title=\"\">\t\t\t<\/a>\n\t\t        \n\n\t\t<!-- Content Wrapper -->\n\t\t<div class=\"py-4 \">\t\n                            <div class=\"flex gap-4 justify-between items-center\">\n                    <!-- Category  -->\n                                            <a href=\"https:\/\/www.biggerpockets.com\/blog\/category\/real-estate-financing\" class=\"transition-colors bg-themeBlue\/20 text-themeBlue-medium hover:bg-themeBlue hover:text-white px-2 py-1 mb-2 inline-block rounded-sm no-underline text-sm\" target=\"_blank\">Real Estate Financing<\/a>\n                    \n                                            <span class=\"text-sm text-gray-500 hidden lg:inline-block\">5 min read<\/span>\n                                    <\/div>\n            \n           <div class=\"flex gap-3 items-center my-2 flex-nowrap text-base\">\n                <!-- Avatar and Author Name -->\n                <img decoding=\"async\" src=\"https:\/\/www.biggerpockets.com\/blog\/wp-content\/uploads\/2025\/04\/cropped-MDP_5507_EDIT2-scaled-1-150x150.jpg\" class=\"w-8 h-8 object-cover my-0 inline-block rounded-full\" alt=\"\" title=\"\"><span class='leading-snug text-slate-500 flex items-center'><span class='hidden whitespace-nowrap sm:inline-block md:hidden lg:inline-block pr-1'><span class='posted-on'><time class=\"entry-date published\" datetime=\"2025-09-24T10:15:33-06:00\">Sep 24, 2025<\/time><time class=\"updated\" datetime=\"2025-09-24T10:16:12-06:00\">Sep 24, 2025<\/time><\/span><\/span>&nbsp;<a href=\"https:\/\/www.biggerpockets.com\/blog\/contributors\/jamesschlimmer\" class=\"no-underline line-clamp-1\" target=\"_blank\">James Schlimmer<\/a><\/span>            <\/div>\n\n            <!-- Post title -->\n\t\t\t<h2 class=\"entry-title js-toc-ignore mt-4 mb-0 text-xl leading-snug text-left\">\n\t\t\t\t<a href=\"https:\/\/www.biggerpockets.com\/blog\/real-estate-investment-non-recourse-loans\" rel=\"bookmark\" class=\"whitespace-normal no-underline font-bold  text-slate visited:text-slate hover:text-themeBlue\" target=\"_blank\">\n\t\t\t\t\tNon-Recourse Loans: No Credit Check, No Tax Returns, No Employment Verification? Yes, It\u2019s Real!\t\t\t\t<\/a>\n\t\t\t<\/h2>\n\t\t\t\n                        <p class=\"text-lg font-normal mt-3 text-slate-500 mb-1 line-clamp-3\">For many real estate investors, the idea of using leverage without relying on personal credit, tax returns, or employment history can sound surprising. Yet this is the foundation of non-recourse&hellip;<\/p>\n\t\t<\/div>\n\t<\/header>\n     <footer class=\"flex justify-between mt-auto\">\n        <!-- Comment Count -->\n        \t\t<span class='flex items-center space-x-2 text-sm' x-cloak x-data='commentCount()' :class=\"parseFloat(commentCount) < 1 || commentCount == '' ? 'hidden' : 'flex'\">\n\t\t\n            <svg xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"h-5 w-5 text-slate text-opacity-50\" fill=\"none\" viewBox=\"0 0 24 24\" stroke=\"currentColor\">\n                <path stroke-linecap=\"round\" stroke-linejoin=\"round\" stroke-width=\"2\" d=\"M17 8h2a2 2 0 012 2v6a2 2 0 01-2 2h-2v4l-4-4H9a1.994 1.994 0 01-1.414-.586m0 0L11 14h4a2 2 0 002-2V6a2 2 0 00-2-2H5a2 2 0 00-2 2v6a2 2 0 002 2h2v4l.586-.586z\" \/>\n            <\/svg>\n\n            <span x-ref=\"comment_count\" class=\"disqus-comment-count text-slate text-opacity-80\" data-disqus-identifier=\"184884\">\n\t\t\t\t\t\t\t<\/span>\n        <\/span>\n\t    <\/footer>\n<\/article><!-- #post-184884 -->        <\/div>\n      <\/div>\n    <\/div>\n  <\/div>\n\n  ","protected":false},"excerpt":{"rendered":"<p>What&#8217;s more conducive to building wealth for investors? Different financial experts will advocate for different loan terms\u2014and they&#8217;ll be right for different reasons. What\u2019s the difference between these popular loan types, beyond the fact that one lasts for 15 years and the other for 30?<\/p>\n","protected":false},"author":807,"featured_media":138452,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[7119,5530],"tags":[7223,421,7225,7226],"class_list":["post-84933","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-biggerpockets-daily","category-real-estate-financing","tag-conventional-mortgage","tag-financing","tag-money-comm","tag-mortgages-creative-financing"],"acf":[],"comment_count":0,"_links":{"self":[{"href":"https:\/\/www.biggerpockets.com\/blog\/wp-json\/wp\/v2\/posts\/84933","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.biggerpockets.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.biggerpockets.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.biggerpockets.com\/blog\/wp-json\/wp\/v2\/users\/807"}],"replies":[{"embeddable":true,"href":"https:\/\/www.biggerpockets.com\/blog\/wp-json\/wp\/v2\/comments?post=84933"}],"version-history":[{"count":0,"href":"https:\/\/www.biggerpockets.com\/blog\/wp-json\/wp\/v2\/posts\/84933\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.biggerpockets.com\/blog\/wp-json\/wp\/v2\/media\/138452"}],"wp:attachment":[{"href":"https:\/\/www.biggerpockets.com\/blog\/wp-json\/wp\/v2\/media?parent=84933"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.biggerpockets.com\/blog\/wp-json\/wp\/v2\/categories?post=84933"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.biggerpockets.com\/blog\/wp-json\/wp\/v2\/tags?post=84933"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}