Fixed Vs Adjustable Interest Rate Mortgages: Which is Right for You?
When shopping for a mortgage, you may have come across the terms "fixed rate" and "adjustable rate." But what's the difference, and which one is the best option for you? Here's a breakdown of the pros and cons of fixed and adjustable interest rate mortgages to help you make an informed decision. Fixed Interest Rate Mortgages With a fixed interest rate mortgage, the interest rate remains the same throughout the entire term of the loan. This means that your monthly mortgage payments will also remain the same. Pros: Predictability: With a fixed interest rate mortgage, you know exactly what your monthly mortgage payments will be for the entire term of the loan. This can make budgeting easier and can provide peace of mind. Stability: Because the interest rate is fixed,…