Choosing a mortgage
is a real estate loan for a specific amount of money will be loaned at
a specific interest
rate for a specific period of time.
There are a variety of mortgage types:
- Fixed-Rate Mortgages are the most popular
type of mortgage. They offer an interest rate that will remain the same
for as long as you have your loan. Stretching out your repayment term
means your monthly mortgage payment will be less than it would be with
a comparable shorter-term mortgage.
- Adjustable-Rate Mortgages (ARMs) offer
an interest rate that adjusts periodically to keep it in line with changing
- Low and No Down Payment options allow for as little as three percent
down, or no down payment at all for borrowers with credit
but with minimal funds for a down payment. Some products come with no
income restrictions for home buyers with credit.
- Special Financing Mortgages were created for home buyers with special
needs, such as low- and moderate-income people who have disabilities
or who have family members with disabilities living with them. Some
programs are created for people in certain occupations, such a police
officers and public school teachers. (See the Home Program section of
this website for a list of programs available in your area).