America’s secret weapon against inflation: The 30-year home mortgage

United States

Outside the Box

Being able to lock in a predictable payment for decades isn’t just a financial tool; it protects families from economic uncertainty

Last Updated: Nov. 2, 2024 at 1:36 p.m. ET
First Published: Oct. 30, 2024 at 7:40 a.m. ET

I’d like to stick up for something that hasn’t received its fair share of attention: the 30-year fixed- rate mortgage. Nine out of 10 American homebuyers opt for this type of loan, but it remains a rarity in much of the world and is often underappreciated in the U.S.

Mortgage rates remain elevated compared to the record lows of the COVID-19 pandemic. As prospective home buyers weigh their options, it’s important to recognize that the 30-year fixed mortgage still offers long-term financial benefits, even in today’s environment.