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Author:
Ego Feathers Jr.
Web Site: http://www.1st-choice-loans.com
Choose between
Fixed or Adjustable mortgage rate!
Your
current economic situation and your future financial plans will
guide you to make an important choice between a mortgage rate
with a fixed-rate and an mortgage rate that has an
adjustable-rate. In today’s competitive marketplace, you can
choose from an increasing variety of loans to match your
long-term plans and goals.
Fixed mortgage
rate loans can be long-term or short term:
Long-term fixed
mortgage rate offers predictable payments and interest but come
with higher interest rate, more interest paid in the long run,
and higher down payment requirement. The short-term fixed rate
on the other hand, features predictable payments and interest
with lower interest rate; less total interest paid; and a
quicker payoff. But it will be a higher monthly payment and
stiffer qualification standards. An adjustable mortgage rate
loan has a low interest rate in the early years of the mortgage
allowing you to pay less for your home in the short-term while a
fixed mortgage rate loan stays constant at a higher rate.
If you intend to
keep your house for more than 5 years, a predictable fixed
mortgage rate is probably a better choice. For more options
check mortgage rate offered by various companies.
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