I know that people tend to ask for a 5-year term most of the time. The question is whether this is really in their best interest. Most of us have been there and when I got my first mortgage everybody from our parents, to friends advised us to get a 5-year term. From my experience over the past in facilitating mortgages and from the feedback from our lenders the majority of people will not fulfill their 5-year term. As a matter of fact they usually want to refinance or consolidate some debt between that 3- and 4-year mark and will pay a payout-penalty accordingly. One of our lenders tailored a product specifically to those clients and it's a smokin' deal:
42-month term at 3.75% oac
They get an awesome rate and are saving a lot of money in payout-penalties should they fall in this category.
Food for thought.
For more information check out my website or give me a call.