You may ask, what is the difference between a fixed rate mortgage and an Adjustable Rate Mortgage? Well here are their definitions in the most simplistic form.
Fixed: The interest rate and term are fixed at the start of the mortgage. The monthly amount for the payment of principal and interest will not change during the life of the mortgage.
Adjustable: Often referred to as an ARM (Adjustable Rate Mortgage). The interest rate on your mortgage will be adjusted up or down according to current interest rate levels. The monthly amount for your principal and interest payment will go up or down with these rate changes. These mortgages may include "Interest Only" type of loans.
For further information or assistance, please give us a call at 877-509-8800 or log onto www.carteretmortgage.con/CRYM to start your loan application now. You can also check out the full home buyers guide on www.mycarteretlo.com
Comments (0)Subscribe to CommentsComment