What Type Of Mortgage Is Right For You Part 2

Charlotte Mortgage Lender Brian Maguire, Vice President of East Coast Mortgage Lending gives a great review of the mortgage loan types and their criteria in Part 2 of this two part series. This is a must watch video for anyone considering a real estate purchase or refinance,

There are many loan types and we are going pull back the curtain and explain many of them today.

Loans fall into 2 broad types.

Fixed Rate Loans are An excellent way to lock into a low interest rate for the life of your loan. They have Terms of 30, 20,15 or 10yrs and The shorter the term the lower the rate.
Adjustable Rate Mortgages or ARM’s are flexible loans, with lower initial rates and payments. There is Typically a 30 year term which has a fixed rate for a specified period of time and then goes adjustable for the remaining term. They can have fixed rate periods of 1, 3, 5, 7, and 10 years. The shorter the fixed period the lower the rate will be.
Specific loan types that fall into these 2 categories satisfy different borrower goals and have different loan parameters.