In the UK mortgage uinterest rates are historically low and I'm in a position where paying off a small mortgage in tens is financially viable. There are however two courses of action I could take:
Take a ten year mortgage, fixed for ten years, resulting in being mortgage free in the relatively near term and having a fixed, predictable and affordable monthly payment for that term.
Take a regular 25 year mortgage, fixed for five or ten years, with significantly lower payments (~£200 or more).
What I can't quite figure out is the risk, having not seen full economic cycles or mortgaged before, like my parents have, and overall cost when inflation is taken into account which seems related to risk. I am not expecting interest rates to fall further, which I am aware would make the first option more expensive.
By better I mean less risky and / or cheaper taking inflation into account. An answer that concludes that 2 is best if I do something sensible with the saved money is both acceptable and interesting.