Confused! Which way to go?
Are you Unable to decide whether to go for an ARM or a fixed Rate mortgage? We can help you choose the right option that is able to address all your mortgage needs. We can provide you with all the necessary information on the right mortgage for you.
The adjustable rate mortgage (ARM) interest rate can go up or down while in a fixed rate mortgage there is no need to keep a watch on the fluctuations. The following is a comparative chart analyzing the pros and cons of ARM and Fixed Rate Mortgage:
|
Adjustable Rate Mortgage(ARM) |
Fixed Rate Mortgage |
Interest Rate |
The interest rate is adjustable |
The interest rate is fixed for the entire term |
Flexibility |
Total flexibility: Most volatile |
Fixed for life |
Monthly Payments |
Variable |
Fixed |
Advantage |
When all the interest rates goes down the ARM also tends to lower |
It is fixed throughout the term. |
Use this calculator to compare a fixed rate mortgage to two types of ARM's, a Fully Amortizing ARM and an interest Only ARM. This Financial Calculator requires a Browser with Java Support
