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FHA 15-Year vs 30-Year Loan

Choosing between these comes down to your credit, your cash, and how long you will keep the loan. Here is the 2026 breakdown with the numbers that actually differ.

A 15-year FHA loan carries a much lower annual MIP (0.15-0.40% vs 0.55%) and far less total interest, but the higher monthly payment raises the income you need to qualify.

FactorFHA15-year FHA
Annual MIP0.55%0.15-0.40%
Monthly paymentLowerHigher
Total interestMoreMuch less
Payoff30 years15 years

The bottom line

Pick 15-year if you can carry the payment; the MIP and interest savings are large.

Run both options with a lender before deciding — the right choice can shift by a few thousand dollars depending on your exact credit score, down payment, and how long you plan to stay in the home.

Rates for both options move daily. Get notified so you can lock at the right moment.

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Frequently Asked Questions

FHA 15-Year vs 30-Year Loan — which is better in 2026?
Pick 15-year if you can carry the payment; the MIP and interest savings are large.
Can I switch later?
Yes. Many borrowers start with FHA and refinance into another loan once their credit and equity improve, which can also remove FHA mortgage insurance.