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Traditionally, when home buyers signed on for a mortgage, they had one option: A 30-year mortgage with a fixed interest rate. During the past decade, adjustable-rate loans rose (and fell). Now, with savvier home buyers who are more eager to pay off loans quickly, the 15-year mortgage has gained in popularity, especially for refinanced home loans.

Home mortgages come in all shapes and sizes, from loans with 40- or 50-year terms to seven-year refinance loans designed for homeowners with a small balance. Following recent scandals about suspect lending practices that have resulted in a rash of foreclosures, lenders are making it tougher to qualify for a mortgage. Find the best loan for your purposes by asking yourself:

1. What payment can you afford? The mortgage industry is cracking down on bad lending practices such as misuse of prepayment penalties, low-documentation loans that allow or encourage borrowers to borrow more than they can pay, mishandled escrow accounts and too-high debt-to-income ratios that put a borrower's financial security at risk. But still be aware that you might be offered a mortgage with a higher payment than you are comfortable making. Choose a home loan amount with payments you believe are affordable, whatever the term.
2. How long will you own the home? If you are sure you will stay in the home for only a few years, the loan term may matter less. Choose the product with the best up-front terms. On the other hand, if you intend to keep the home for many years, decide whether you prefer somewhat higher payments knowing the loan's end is relatively near, or easier payments that go on for a longer period. Also consider your family's life stage. If a 15-year loan would mean mortgage payments would end just as your firstborn heads to college, the timing might make a shorter loan worthwhile.
3. How important to you is total interest paid? On a home loan of $160,000, a 30-year mortgage at 7 percent annual interest would result in more than $223,000 in interest payments over the life of the loan. In contrast, a 15-year mortgage at the same rate costs less than $99,000 in interest! Clearly, the savings in interest and in time makes shorter home loans appealing to many borrowers. But if you choose the longer-term loan, take heart -- the additional interest you pay is tax deductible.
4. How disciplined are you? Many people argue that a 15-year mortgage and a 30-year mortgage can be made essentially the same. They believe homeowners should obtain a 30-year mortgage and then make extra principal payments every month. For a mortgage amortized over 30 years, making one extra principal and interest payment per year will pay off the loan eight years sooner. (Divide one principal and interest payment by 12, and add that amount to the monthly mortgage payment to total one extra payment over the course of the year.) If you hope to pay your mortgage off early, do you have the discipline to stick with your payment plan?
5. How much flexibility do you need? An advantage to a longer-term loan is that the payments are lower. On the same loan mentioned in #3 -- used to purchase a $200,000 home with 20 percent down -- the payment on a 30-year mortgage is $375 less per month than the payment for a 15-year loan. Even if you can afford the shorter loan, choosing a 30-year term and paying an additional $375 principal each month leaves the option of using that money elsewhere if it's needed in an emergency. Whichever you choose, it is a good idea to be sure the loan has no penalty for prepayment (paying the loan off early).
6. Do you have other debt you should pay off first? All things considered, a mortgage is relatively "good" debt. With every payment, you invest in your future. For most people, the interest is tax-deductible. And current home loan interest rates are fairly low. If you're like millions of Americans who owe thousands on credit cards -- with interest rates up to 20 percent or higher -- you would be wise to apply extra cash to paying off credit card debt before you focus on making additional payments on your mortgage loan.

Home borrowing has no one-size-fits-all solution. For the best outcome, take a clear view of your situation before selecting a mortgage product. Then be sure that whatever you choose, you make payments on time -- and enjoy your new home.