Level of mortgage rates -The level of mortgage rates determines how much you can spend on other things.

Interest rates -Interest rates on home mortgages are important because mortgage interest is a major item in many people’s budgets.

Changes – Small changes in mortgage interest rates can have a large impact on how affordable it is to own a home.

Interest payment – The interest payments over the life of a mortgage often add up to more than the amount of the mortgage loan. For example, the interest payments on a 30-year, $100,000 mortgage at a 7% interest rate will add up to about $140,000 over the 30 years. People who have mortgages may deduct the interest they pay from their income in calculating how much income tax they have to pay.