To determine the most typical duration of a home mortgage, we need to evaluate the given options and consider common mortgage terms.
A. [tex]$5-10$[/tex] years:
- Mortgages with terms of [tex]$5-10$[/tex] years are generally uncommon for standard home purchases. These shorter terms might result in higher monthly payments, making them less practical for most buyers.
B. 10-15 years:
- While slightly more common than the [tex]$5-10$[/tex] year range, mortgages with a term of 10-15 years still do not represent the typical duration for most home buyers. Short-term mortgages like these usually result in significantly higher monthly payments.
C. 20-30 years:
- This range represents the most common duration for home mortgages. The 30-year fixed-rate mortgage is particularly popular because it offers lower monthly payments spread out over a longer period, making homeownership more affordable for many people. Additionally, 20-year terms can also be attractive as they strike a balance between total interest paid and monthly payments.
D. 15-25 years:
- The 15-year mortgage is moderately common and offers benefits such as lower interest rates and faster equity building, but it tends to come with higher monthly payments. While 25-year mortgages are less common than 30-year term mortgages, they do exist but are not the most typical.
Given these evaluations, the most common duration for home mortgages falls into the range indicated by option C.
Therefore, the best answer is:
C. 20-30 years
