When applying for a mortgage, you might be surprised by the amount of options you have available. From a capped rate mortgage to a high ratio mortgage, buyers need to understand what these loans could mean for their finances. This guide identifies the most common types of mortgages, how they differ from each other, as well as other terms buyers should know.
1. Open vs. Closed Mortgages
The way that you pay your mortgage will depend heavily on whether or not the loan is open or closed. A closed mortgage often carries a lower interest rate, but it places several restrictions. With a closed loan, you may be limited to making the specified payments. If you attempt to refinance the mortgage or pay off the remainder before the end of the term, you
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The kids have left the nest and the home that was once just the right size now feels three sizes too large. Even worse, as utility rates, property taxes, and insurance premiums continue to go up in most areas of the country, living in a home that is too large can become a huge financial burden for empty nesters. Homeowners who are currently living in a home that is too large for your needs and your budget and would like to downsize into a home that is just right for your situation but don't know where to start, the following four tips will help.