With a myriad of loan programs available, a number of factors must be considered to determine which is most advantageous. Simply put, there are two basic mortgage types: fixed rate and adjustable rate. Adjustable rate mortgages have lower interest rates for a specified term, but then fluctuate. Projected length of home ownership and potential risk assumption must be carefully weighed when deciding on a program.

Why is it so important to choose the right loan program?

For most people, their home is their greatest asset. A great deal of time and effort goes into finding the right property. Yet when it comes to financing, few people are as diligent. One program over another may save a borrower thousands of dollars over the course of the loan. The interest rate, points and fees are all also equally as important. These all vary from company to company for the same loan programs. Shop wisely and be sure to compare, not only rates but also programs, points and fees. If fees, points or rate adjustments are high, a low interest rate is no deal. To negotiate the best deal possible, connect with an experienced lender. And to ensure there are no exorbitant fees associated with your loan, always obtain a good faith estimate, which any reputable lender should be happy to provide.

Don’t know what program is right for you?

For expert advice, call Advantage Mortgage and deal with the company owner.