30 year fixed rate Meaning and Definition

30 year fixed rate

30 year fixed rate

Pronunciation

/ˌθiːrty ˈfaɪkd ˈrɪte/

Part of Speech

Noun

Definition

A type of mortgage loan that has a fixed interest rate for 30 years, providing stability and predictability for homeowners.

Etymology

The term “30 year fixed rate” originated in the late 20th century as a response to the volatility of interest rates and the need for borrowers to have a stable financial burden.

Usage Notes

When discussing mortgage options, it’s crucial to mention the duration and rate stability of the loan to help customers make informed decisions.

Cultural References

The term has been frequently used in popular culture to highlight the financial benefits of home ownership and the importance of long-term planning.

Idiomatic Expressions or Phrases

“Locking in a 30 year fixed rate” means securing a mortgage with a stable interest rate for a 30-year term.

Related Words or Phrases

  • Interest rate
  • Mortgage
  • Loan
  • Finance

Collocations

  • “30 year fixed rate mortgage”
  • “low 30 year fixed rate”
  • “high 30 year fixed rate”

Frequency of Use

The term “30 year fixed rate” is commonly used in financial and real estate contexts, particularly in the United States and other countries with stable housing markets.

Common Misspellings

  • 30 year varius rate
  • thirty year fixed rate

Related Words