The Adjustment Depends On The Index When you take out an adjustable rate mortgage (ARM), you agree to allow your lender to make periodic adjustments to the interest rate that you pay on the balance of your home loan. The mechanics of the adjustments come from the terms that you agreed to at the beginning […]
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Is The Adjustable Rate Mortgage Just A Fair Weather Financial Friend? Given the option, homeowners have always tended to prefer fixed interest rates on their home loans, as opposed to adjustable rates. When you’re paying monthly it’s nice to be able to count on the rate always staying the same. It gives you a sense […]
What mortgage is best for you? It is not possible to answer that question without knowing your personal details. However, here are some of the more common types of mortgage, and each should be available to most people. Fixed Rate Mortgages A fixed rate mortgage is the most common type of mortgage loan in the […]
Balloon mortgages involve the payment of a lump sum to clear the outstanding mortgage loan after a specific period of time. A common form of balloon loan in the auto industry is to borrow a certain sum to purchase a car, and agree to a balloon payment at the end of the loan period. For […]