FIVE YEARS?!?!? How can a home be a good investment with a five-year loan except if interest rates are falling? And they can't fall forever. The principal of a fixed-term mortgage is that if interest rates go up, you're locked in and protected. If rates are going up, it's most likely because of inflation. So you're making a fixed payment with ever-cheaper dollars. On the other hand, if rates are going down, you can refinance at a lower rate and make a smaller house payment. YOU CAN'T LOSE.