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15-Year Mortgage: Pay off your home faster, save on interest
Lock in a lower rate and own your home in half the time and $0 lender fees from Tomo Mortgage.
15-year mortgage requirements
Property types: single-family, condos, townhomes, second homes, investment
Minimum credit score: 620
Minimum down payment: 5%
Loan types available: Conventional
Debt-to-income ratio: 49.99% or less
If you meet these requirements, Tomo Mortgage helps you afford more home for less down.
40+
licensed states
$0
lender fees
98%
on-time closing
4.8
stars on Bankrate
Why choose a 15-year mortgage?
Lower rate, less interest overall
15-year mortgages carry a lower interest rate than 30-year loans, which means more of every payment goes toward your principal from day one, and your total interest cost over the life of the loan is dramatically lower.
Own your home in half the time
Pay off your mortgage 15 years faster than a standard 30-year loan. That’s 15 extra years of no mortgage payments or interest, more financial freedom, and full equity in your home.
Build equity faster, drop PMI sooner
Because you’re paying down principal more aggressively, you reach 20% equity much faster on a 15-year loan. That means PMI drops off sooner if you put less than 20% down, saving you hundreds per month earlier in the loan.
Your rate quote
Additional loan details
- Monthly payments
- $2,561
- Lender fees
- $0 guaranteed
- Due at closing
- $112,000
- -Cost to buy a lower rate
- $0
- -Closing costs
- $8,000-$12,000
- -Down payment
- $100,000
Your quote is based on a as in with a purchase price of and .
How it works
Get pre-approved in minutes
Sync your accounts instantly without digging through your files. Our team is available 7 days a week to help you move quickly.
Lock your rate
Found your home? Lock your rate the same day you go under contract. If rates drop 0.25% or more before closing, our float-down program helps adjust your rate lower. No cost, no hassle.
Close in as little as 12 days
15-year conventional loans close through Tomo Mortgage’s streamlined process which means fewer property requirements and less red tape than government-backed alternatives. The industry average is 45 days. We typically close in 12–21 days.
Move in with peace of mind
No surprise fees at closing or last-minute rate changes. Just the home you wanted at the price we promised, plus a mortgage you’ll pay off in 15 years.
What are the benefits of a 15-year loan?
| Benefit | Lower my rate & payment | Pay off faster | Build equity & drop PMI sooner | Lock in certainty |
|---|---|---|---|---|
| How it works | 15-year rates are typically lower than 30-year, so more of each payment goes to principal from day one. | A shorter term means fewer total payments, so you're done in 180 months vs. 360. | Higher monthly payments pay down principal faster, hitting the 20% equity threshold sooner. | Rate and payment are fixed for all 180 months. |
| What it solves | You're paying a higher 30-year rate when today's 15-year rates are lower. | You're paying more total interest by stretching repayment over 30 years. | You put less than 20% down and are carrying PMI, or want to build equity faster. | You want a fixed housing cost with no adjustments or surprises. |
| Typical impact | 15-year fixed rates are typically lower than 30-year, so you are saving on interest even with a higher principal payment. | On a $360,000 loan, a 15-year term could save tens of thousands in total interest vs. a 30-year loan. | PMI can drop off years sooner than on a 30-year loan. | Principal and interest payment is fixed for 180 months. No rate adjustments, no surprises. |
| What waiting costs you | Each month at a higher rate, more of your payment goes to interest instead of principal. | Every extra year on a 30-year schedule adds avoidable interest to your total cost. | Every month with PMI on your home costs you. Earlier equity = earlier savings. | If rates rise, today's 15-year fixed becomes the rate you wish you'd locked. |
| Minimum to qualify | 620 credit, 5% down (conventional) | 620 credit, 5% down (conventional) | 620 credit, 5% down. PMI removed at 20% equity through payments or appreciation. | 620 credit, 5% down (conventional) |
| Not ideal if | You need the flexibility of a lower required monthly payment. | The higher payment would push your DTI above 50%. | You're already at or near 20% equity. | You plan to sell or refinance within a few years, an ARM may offer a lower initial rate. |
Feel as confident as you look on paper
The financials that qualify you for a 15-year loan are the same ones that make sellers say yes. With Tomo Mortgage, you can close fast and without surprises.
How to maximize your approval odds
Credit score
Have a 620? You may qualify for a conventional 15-year loan. Have 700+? You’ll unlock our best rates, and with a lower rate already baked into the 15-year term, the savings stack up fast.
Down payment
Starting with 3% down? You can still qualify. Every additional percentage point you put down reduces your monthly payment and, on a 15-year loan, gets you to 20% equity and the end of PMI even faster.
Debt-to-income ratio
Keep total monthly debt payments below 50% of your gross income. This is especially important on a 15-year loan, where the higher monthly payment raises your DTI. Pay down high-interest debt before applying to improve your odds.
Income verification
Having pay stubs, bank statements, and employment history ready to go means faster pre-approval turnaround time.
Property diversity
Single-family homes, condos, townhomes, second homes, and investment properties all qualify for a 15-year term.
The Tomo Mortgage advantage
$0 lender fees guaranteed
While other lenders charge 1%+ in origination fees, we charge $0. On a $400K loan, that’s $2K - $4K staying in your pocket. You get the savings.
Close in as little as 12 days
Our digital-first process and real-time asset verification allow us to close home loans significantly faster than the industry average of 45 days.
7-day/week support
Traditional lenders make you call during business hours or make you travel to the bank. Tomo Mortgage is here when you . M-F: 8AM-8PM CT, Sat: 9AM-3PM CT, Sun: 11AM-5PM CT
30-second account verification
Linking your bank account replaces hours of paperwork. What takes other lenders 3-5 business days is instant with Tomo Mortgage.
Frequently asked questions
The minimum credit score for a conventional 15-year mortgage is 620. Your score affects your rate significantly. A score between 620–699 qualifies but at moderate rates, 700–759 unlocks better pricing, and 760+ gets you the best rates available.
On a $360,000 loan, the monthly payment on a 15-year mortgage is typically $600–$800 higher than a comparable 30-year loan, depending on rates at the time of lock. The tradeoff is lower total interest over the life of the loan. Use our mortgage calculator to compare your specific scenarios.
Credit score and down payment requirements are identical, the difference is debt-to-income ratio (DTI). Because the monthly payment for a 15-year mortgage is higher, it increases your DTI, which can reduce how much you can borrow. If DTI is a concern, a larger down payment or paying down existing debt before applying can help.
No. Tomo Mortgage does not charge prepayment penalties on any loan product. You’re free to make extra principal payments or pay off your mortgage early at any time without any additional fees.
Once you lock your rate, Tomo Mortgage monitors market rates against the Freddie Mac weekly survey (updated every Thursday). If rates drop 0.25% or more from your lock date, we can lower your rate so you get the drop minus Tomo Mortgage’s 0.125% execution cost. For example: a 0.25% drop gives you a 0.125% reduction; a 0.50% drop gives you a 0.375% reduction. Float-down can only be used once per loan and requires closing at least 7 days after the request.
Tomo Mortgage is live in 40 states and DC:
- Alabama
- Alaska
- Arizona
- Arkansas
- California
- Colorado
- Connecticut
- District of Columbia
- Florida
- Georgia
- Idaho
- Illinois
- Indiana
- Iowa
- Kansas
- Kentucky
- Louisiana
- Maine
- Maryland
- Massachusetts
- Michigan
- Minnesota
- Mississippi
- Montana
- Nebraska
- New Jersey
- North Carolina
- North Dakota
- Ohio
- Oklahoma
- Oregon
- Pennsylvania
- South Carolina
- South Dakota
- Tennessee
- Texas
- Utah
- Virginia
- Washington
- Wisconsin
- Wyoming
Glossary of terms
Rate
Your mortgage rate is the percentage you pay to borrow money for your home. Rates change daily based on market conditions and your credit score, down payment, and location. Higher credit scores (700+) and larger down payments (20%+) qualify for lower rates. Once you lock your rate with Tomo Mortgage, it's guaranteed through closing—even if market rates increase.
APR
APR shows the true cost of your loan by including the interest rate plus fees like mortgage insurance, points, and closing costs. When comparing lenders, look for an APR close to the interest rate (within 0.25%). A big gap means high fees. With Tomo Mortgage's $0 lender fees, our APR stays close to our rate.
Closing costs
Closing costs are fees you pay to complete your home purchase, typically 2-5% of your loan amount ($8,000-20,000 on a $400,000 loan). Common costs include appraisal ($500-800), title insurance ($1,000-3,000), and inspection ($300-500). With other lenders, expect $2,000-4,000 in lender fees—Tomo Mortgage charges $0.
Points/credit
Points let you pay more upfront to lower your interest rate. One point = 1% of your loan amount. Credits give you a higher rate in exchange for the lender covering closing costs. Which makes sense depends on how long you'll stay in the home. Your Tomo Mortgage loan advisor will run the math with you.
Private Mortgage Insurance (PMI)
PMI is required on conventional loans with less than 20% down, typically costing $100-300/month. It protects the lender if you default. Unlike FHA mortgage insurance, conventional PMI is removable once you reach 20% equity—usually within 5-7 years through home appreciation—saving you thousands over the life of your loan.
Conforming loan limits
Conforming loan limits are the maximum amounts Fannie Mae and Freddie Mac will purchase from lenders. For 2026, the limit is $832,750 in most areas (up to $1,249,125 in high-cost markets). Loans within these limits get better rates because lenders can sell them, reducing their risk. Loans above these limits are called jumbo loans.
Debt-to-Income Ratio (DTI)
Your DTI is your total monthly debt payments divided by your gross monthly income. Conventional loans typically require DTI under 50%. Calculate yours: add up all monthly debts (mortgage, car, student loans, credit cards) and divide by pre-tax income. Under 43% is ideal. Over 50%? Pay down debt before applying.