15-Year vs 30-Year Mortgage Nevada

Yes, through refinancing. When you refinance to a 15-year mortgage, you'll get a lower interest rate (typically 0.25%-0.5% less) and build equity faster. However, refinancing costs $3,000-$8,000 in Nevada, so it only makes sense if:

• You plan to stay in the home at least 3-5 more years
• Your income has increased enough to handle the higher payment
• Current rates are at least 0.5% lower than your existing rate

Alternative: Many Nevada homeowners skip refinancing and simply make extra principal payments on their 30-year mortgage — no closing costs required.

This is actually the ideal scenario for the hybrid strategy. As your income grows, start making aggressive extra principal payments. Here's what many successful Nevada homeowners do:

• Year 1-3: Pay the minimum while building emergency savings and maxing retirement accounts
• Year 4-6: Add $200-500/month extra toward principal as income increases
• Year 7+: Ramp up to $1,000+/month extra payments once kids are older or other debts are paid

This approach lets you pay off a 30-year loan in 15-20 years while maintaining flexibility during your highest-expense years (young kids, establishing career).

Yes, always. 15-year mortgages typically have rates 0.25%-0.75% lower than 30-year mortgages because they're less risky for lenders (shorter loan term = less chance of default or rate fluctuation impact).

On a $400,000 loan, that 0.5% difference saves you an additional $50,000-70,000 over the loan life — on top of the interest savings from paying off faster. This is why 15-year mortgages are so powerful for wealth building.

The financial answer depends on math vs. psychology:

Our Nevada clients typically do both: Contribute enough to 401k for employer match, then split extra cash 50/50 between retirement accounts and mortgage paydown. This balances wealth building with debt reduction.

Closing costs are essentially the same for both loan terms — typically 2%-5% of the loan amount in Nevada (about $8,000-$20,000 on a $400,000 loan). Costs include:

• Origination fees: 0.5%-1% of loan amount ($2,000-$4,000)
• Appraisal: $500-$800 (required in Nevada)
• Title insurance & escrow: $1,500-$3,000
• Nevada county recording fees: ~$200-$400
• Prepaid taxes/insurance: $3,000-$6,000 (escrowed)

The only difference: Because 15-year loans have lower interest rates, you might save $100-300 on origination fees if lenders charge a percentage of rate. But this is minimal compared to the $200K+ interest savings over the loan life.

Yes, significantly. Lenders qualify you based on your debt-to-income ratio (DTI), and the lower 30-year payment allows you to borrow more. Here's a Nevada example:

With the same income, a 30-year mortgage lets you borrow $100,000 more — often the difference between buying in a decent neighborhood vs. your ideal location. This is why 30-year mortgages dominate the Nevada market, especially in high-cost areas like Henderson and Summerlin.