Home mortgage loans come in many different shapes and sizes. While you can classify their types by name such as fixed rate, adjustable, or reverse, each type has many variables. The amount of home mortgage loans is usually determined by the price of the home minus the borrower's down payment. In addition there might be loan costs and fees worked into the loan principal. First time buyers are often surprised by the amount of interest they will pay over the life of the loan. A $200,000 house amortized over 30 years at 7% interest will be over $279,000 paid just in interest over the life of the loan. That is more than the cost of the property. This is somewhat offset by applicable tax law which can allow for home loan interest deductions. The interest rate is what the borrower must shop for. The total term of the loan or time period to repay the loan is usually dictated by the borrower's ability to make payments.