Pros and Cons of Adjustable-Rate Mortgages
A variable interest rate might be invitingly low for a while, but what happens when it's time for the rate to adjust?
The vast majority of home mortgages today fall into two categories. The first and most popular type of home mortgage has a fixed interest rate. For the life of the home loan, the interest rate never changes and the payment stays the same.
The second type of home mortgage has a variable interest rate. In a true variable-rate mortgage, the interest r...
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