Based on your financial expertise, provide your response or viewpoint on the given financial question or topic. The response format is open.

15 year mortgage vs 30 year paid off in 15
Yes.  It does cost the same to pay off a "15 year in 15" year versus a "30 year in 15 year" mortgage.  After all, the 30 year amortization period is only used by the lender to calculate the monthly payment he'll expect, while, unbeknownst to him, you are using a 15 year amortization and the same rate to calculate the payments you'll really make. One factor:  Can you make extra payments at the level you want, without incurring penalties from the lender?  Most mortgages have prepayment limits.  After all. he's seeing his nice steady 30 years of cash flow suddenly shortened.  He has to go out and find someone else to lend the unexpected payments to... EDIT:  Closed mortgages, with pre-payment charges are the norm here in Canada;  open mortgages predominate in the US  http://www.cmhc-schl.gc.ca/en/corp/nero/jufa/jufa_018.cfm