Fixed-Rate Mortgage vs Adjustable-Rate Mortgage
By Scott Gleason, CRS, Westfield NJ New Homes Specialist
(Coldwell Banker Realty)
Over the past couple of years, mortgage rates hit their all-time lowest point. At that time, financial experts encouraged buyers to get a fixed-rate mortgage loan to purchase their properties. However, with interest rates on the rise these last few months, many buyers began looking at adjustable-rate loans instead. Which one should you consider for your next mortgage loan? It depends.Fixed-Rate Mortgage vs Adjustable-Rate MortgageFixed-Rate MortgageA fixed-rate mortgage is exactly what it says: one set rate for the life of the loan. Even so, your monthly payment could change depending on current property taxes and insurance rates. But the actual monthly mortgage payment remains the same the entire time. However, lenders charge more interest for fixed-rate loans than they do for adjustab...
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