30 year Fixed
15 year Fixed |
· Monthly payments won't change
·Interest rate fixed
· Protected if rates go up
· Can refinance if rates go down |
· Higher interest rate
· Higher mortgage payments
· Rate does not drop if
interest rates improve
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Apply now! |
| Adjustable Rate Mortgages (ARMS) |
· Lower initial monthly payment
· Lower payment over a shorter period of time
· Rates and payments may go down if rates improve
· May qualify for higher loan amounts |
· More risk
· Payments may change over time
· Potential for high payments if rates go up |
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Apply now! |
| Balloon Mortgages |
· Lower initial monthly payment
· Lower payment over a shorter period of time
· Many balloon mortgages offer the option to convert to a new loan after the initial term. |
· Risk of rates being higher at the end of the initial fixed period
· Risk of foreclosure if you cannot make balloon payment or if you cannot refinance or if you cannot exercise the conversion option |
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Apply now! |
| First Time Buyer Programs |
· Lower down payment
· Easier to qualify
· Sometimes you may get lower rate |
· May be subject to income and property value limitations
· Some programs which have government subsidies may have a recapture tax if you sell the house too early. |
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Apply now! |
