Taking the mystery out of mortgage terms

The good news is that financing a home is easier than ever. You don’t need perfect credit, a large down payment or long-term employment history with the same employer. However, you do need to be aware of what Mortgage Lenders are looking for. You should also know how your financial status affects the terms of a mortgage and the interest rates or types of mortgages you qualify for.

Before you move forward, get to know the basics about mortgage terms. First of all there are primarily two types of mortgages, and variables within both.

• Fixed Rate Mortgage: the interest rate stays the same for the entire term of the loan. Because this rate is fixed and not subject to market changes, this rate is usually higher than an adjustable rate mortgage.
• Adjustable Rate Mortgage: the interest rate is linked to a financial index and may fluctuate with market conditions. As such, the payments may vary over the life of the loan. These rates are traditionally lower than fixed rates, but can go up or down over time.

Mortgages are normally available for either 15 or 30 years. However, there are some longer-term mortgages today.

For more information on loans, please click on Contact top right (or below) complete the information or, if you prefer, call us at 1-858-759-6605 and we’d be happy to direct you to one of our very knowledgeable mortgage lenders.

     WomensRealEstate Tip

"Make sure to read the fine print. Getting the lowest interest rate may not be as important as knowing you have monthly payments you can afford long-term. We are here to help you so there are no surprises."