When figuring out the right loan, time and payment are the 2 main factors. Certain loans have lower initial payments for a fixed period, these are known as ARM loans (adjustable rate mortgage). Other loans have higher monthly payments but have the certainty of the payment never changing, these are FRM (fixed rate mortgage).
30-Year Fixed: This loan has the certainty of the same payment for 360 months. The rate and payment will never change for the life of the loan. This loan has a lower payment and higher rate than a 15 year fixed. There is more interest paid over time than a 15 year fixed.
15-Year Fixed: This loan has the certainty of the same payment for 180 months. The rate and payment will never change for the life of the loan. This loan has a higher payment and a lower rate than a 30 year fixed. There is less interest paid over time than a 30 year fixed.