Fixed-Rate Mortgage

Predictable payments for the life of your loan. A fixed-rate mortgage locks in your interest rate from day one, giving you stability and peace of mind no matter what the market does.

What Is a Fixed-Rate Mortgage?

A fixed-rate mortgage is exactly what it sounds like: your interest rate stays the same for the entire life of the loan. Whether you choose a 15-year, 20-year, or 30-year term, your principal and interest payment never changes.

This is the most popular loan type in America for good reason. It offers simplicity, predictability, and protection against rising interest rates. You know exactly what your housing cost will be every single month.

At Mortgage Austin, we help you compare fixed-rate options across different term lengths so you can see exactly how your monthly payment and total interest costs change. No surprises, no guesswork.

Key facts:

  • Terms: 15-, 20-, 25-, and 30-year options
  • Principal and interest payment never changes for the life of the loan
  • Minimum down payment: 3% conventional, 3.5% FHA, 0% VA
  • A 15-year term costs less total interest but has a higher monthly payment than a 30-year
  • Conforming fixed-rate loans go up to $832,750 in 2026 (FHFA limit)

Why Choose a Fixed Rate?

🔒

Payment Stability

Your principal and interest payment stays the same from the first month to the last. Budget with confidence knowing your mortgage cost is locked in.

📈

Rate Protection

If interest rates rise after you close, it does not affect you. You are protected for the full term of your loan.

🧮

Simple to Understand

No adjustments, no caps, no indexes to track. A fixed-rate mortgage is straightforward, making it easy to plan your finances long-term.

What Fixed-Rate Loan Options Are Available?

Fixed-rate mortgages come in 15-, 20-, 25-, and 30-year terms and are available across conventional, FHA, and VA programs. Down payments start at 3% for conventional, 3.5% for FHA, and 0% for VA. A shorter term builds equity faster and costs less in total interest, but the monthly payment is higher. Here is what to consider:

ProgramMinimum down payment (fixed-rate)
Conventional3%
FHA3.5%
VA0%

✓ Term lengths: 15-year, 20-year, 25-year, and 30-year terms are commonly available.

✓ Loan types: Conventional, FHA, and VA loans can all be structured as fixed-rate mortgages.

✓ Down payment: Varies by program. Conventional starts at 3% down, FHA at 3.5%, and VA at 0%.

✓ Credit requirements: Depend on the loan program. We will help you find the best fit for your credit profile.

✓ Shorter terms: A 15-year fixed rate builds equity faster and costs less in total interest, but has a higher monthly payment than a 30-year.

The right term length depends on your budget, goals, and how long you plan to stay in the home. We help you run the numbers so the decision is clear.

Frequently Asked Questions

What fixed-rate mortgage terms are available in Texas?
The most common terms are 30-year and 15-year, and most lenders also offer 25, 20, and 10-year options. Fixed rates are available on Conventional, FHA, and VA loans alike. Shorter terms carry lower rates but higher monthly payments.
Is a 15-year or 30-year fixed mortgage better?
A 15-year loan usually carries a lower rate and cuts total interest dramatically, but the required payment is much higher. A 30-year loan keeps the required payment low, and you can always pay extra toward principal when you want the faster payoff without being locked into it. The right answer depends on your budget and how long you plan to keep the home.
Can my monthly payment change on a fixed-rate mortgage?
The principal and interest portion never changes. In Texas, though, most payments also include escrow for property taxes and homeowners insurance, and those amounts adjust each year. When your payment moves, escrow is almost always the reason.
When can I lock my mortgage rate?
Typically once you have a signed purchase contract, with standard lock periods of 30 to 60 days. Some lenders offer longer locks for new construction. We help you time the lock based on your closing date so you are covered without paying for lock time you do not need.
Can I refinance a fixed-rate mortgage later if rates drop?
Yes. Conventional, FHA, and VA loans have no prepayment penalty, so you can refinance whenever the math works. A good rule of thumb is that the monthly savings should recover your closing costs within a reasonable break-even window.

Ready to Lock In Your Rate?

No pressure, no obligation. Let us walk you through your options and find the right fit for your situation.

Schedule a Call →