Fixed Rate Mortgages

Fixed Rate Mortgages

Fixed rate mortgages feature an unchanging interest rate, so the monthly payments (which includes the principal and interest) stays the same during the life of the loan. These mortgages generally have repayment terms of 15, 20, or 30 years. Thirty years is the most common length for fixed rate mortgages.

Although fixed rate mortgages may be slightly higher initially than variable rates (adjustable rate mortgages), the key benefit is that the fixed interest rate offers stable monthly payments over the life of the loan. Regardless of fluctuating interest rates in the market, your mortgage offers the security of a consistent payment. These mortgages are very popular for those who prefer having a predictable monthly budget.

However, there are times when you may not want to consider fixed rate mortgages. If you're comfortable with taking a risk in order to have lower initial payments, perhaps an adjustable rate mortgage is the right vehicle for you. In addition, an adjustable rate mortgage may be cheaper if you plan to stay in the home for no more than 3 years. You may also want a second mortgage for remodeling or home repair, and once again, an adjustable rate home equity loan may be appropriate. Or you simply want to take advantage of low rates, and might consider refinancing your home.

Fixed rate mortgages are the right vehicle if:

• You plan to own this home for many years.
• Your income stays the same, a fixed mortgage avoids the potential interest rate increases seen in an adjustable rate mortgage.
• You prefer the peace of mind of a predictable, consistent household budget.

Handy New Home Loan Form

To determine how much your monthly mortgage payment would be for a new home loan, check out this short form and multiple lenders will provide you with complete information and rate quotes.

Handy Home Equity Loan Form

If you are looking for a home equity loan, then try this form instead for rate quotes and payment information.

Handy Home Refinance Form

Or, if you are looking to refinance your home, please click here to get rate quotes and information from multiple vendors.