When looking for a home you are enjoying going to showings to home what will end up being your new home for yourself and your family, but what about how you’re going to ultimately be paying for the home — Your Mortgage. Have you researched online, asked friends and family? Did you sit down with your mortgage representative and ask questions based on your research?
What kind of mortgage are you looking for? Fixed rate? These are the most popular. You know your mortgage every month and doesn’t change for the life of the loan. ARM? Adjustable Rate Mortgage. The word Adjustable should be your first clue that at some point it will change. Jumbo loans? These are usually for higher income buyers with flexible incomes.
Beware! If you see the word Negative in your mortgage loan, Ask Questions. a Negative Amortization or Option Arm you may want to stay away from because although you may be lured into the mortgage with a low mortgage payment, your Loan Balance will be going Up, thus the word Negative in the type of loan. They are also referred to as graduated mortgage payments.
Be very sure you understand exactly what type of loan you are signing up for before you Buy Your Dream home. You don’t want it to turn into a Nightmare for you and your family.
Got Loan Questions? Ask me. We work with great mortgage reps who know all of the products available.