Fixed Rate Mortgages

The oldest and most common type of all home loans are the fixed rate mortgages. These loans have been overshadowed by other home loans that offer initially lower payments, but fixed interest rate is usually your safest bet when looking for a home loan.

There are many benefits to obtaining a fixed rate home loan. Although other programs offer lower payments, they also come with a significant risk if not properly managed. A fixed rate home loan gives you the security of fixed payments for the duration of the loan.

There are many new options available on fixed rate mortgage programs. These include different terms ranging from 15 all the way to 50 years. There are also bi-weekly payment options, which help the borrower save on interest.

With a fixed rate mortgage loan, there will be no worries of ARM’s adjusting or the adverse effects of negative amortization. You will always know what your payment will be because your interest rate is fixed.

Pennsylvania Mortgage Rate