A fixed-rate mortgage is a loan where the interest rate remains the same throughout the entire term of the loan. Fixed-rate mortgages are one of the most common types of loans.

It comes with an interest rate that stays the same for the lifetime of the loan, and provides the borrower with more stability and predictability over the lifetime of their loan. While mortgage payments can fluctuate as property taxes and homeowner’s insurance change, many consumers prefer the fixed-rate mortgage for its long-term reliability.