Many of the novelty type home mortgages — such as the “payment-option” loan — have disappeared in the wake of the housing bust. But homebuyers and homeowners who want to refinance still have several types of loans from which to choose. The most basic choices include: fixed-rate mortgages, adjustable- or variable-rate mortgages and hybrid mortgages […]
Fixed-Rate Mortgages vs. ARMs
A comparison of fixed-rate mortgages and adjustable-rate mortgages should be an important consideration for any borrower who wants to purchase a home, refinance an existing mortgage or take out a home equity loan or line of credit — also called a second mortgage. The main advantage of fixed-rate mortgages is that — just as the […]