Two step mortgage concept
1 answersQuestion asked ( August 19, 2009 , Shopping / Finance )
What is a two step mortgage? How does it differ from a normal mortgage that we take from a bank?
Answers to : mortgage...
Answer
A two step mortgage is a type of mortgage which holds a fixed interest rate for a initial phase / pre-determined period of time (ranging between 5 to 7 years) post which the interest rate gets adjusted in accordance with the market rate. Banks or lending institutes may provide you with the option on whether you wish to opt for fixed interest or ARM at the time of conversion. Do take into account the highs and lows in future interest rates into account before deciding on a fixed interest mortgage or ARM.
| Buy these photos from mortgage Dreamstime.com |  | ||
|
|||
Comment to : mortgage
You are not logged in. Sign up or Log in