Well, there are many types of mortgages to choose from and they are all tailored to specific needs. Most mortgages differ in just a few ways. They may require balloon payments up front or toward the end of the loan period. They might be influenced monthly by ever-changing interest rates.
Fixed Rate Loans
Fixed rate loans are very popular because you are guaranteed to have the same bill every month regardless of interest rates.
Adjustable Rate Loans
Adjustable rate loans differ from fixed rate as they fluctuate with current interest rates. They usually have a cap so you won’t be paying twice as much as the month before. The cap is usually just a couple percent.
These are just a couple of popular types of home loans. There are many more. I you’re not sure which mortgage is right for you, consult your real estate agent or broker. They will be happy to assist you in making your decision.
The best bet is to research the different types of loan you
are interested in and discuss them with your broker.