Home » Finance » Loans

Exploring Options For Mortgage Financing And Housing

Aug 17, 2007
Mortgage finance and housing is a term most people come across at some point in their lives. Everyone needs a home to live in. There are several kinds of mortgages available to finance your housing requirements. Below is a list of some of the mortgages available.

Adjustable Rate Mortgage
As the name suggests, these are mortgages through which it is possible to change the rate of interest during the course of the loan period. The normal duration of mortgage finance and housing loans is 25 to 30 years. However this may vary depending upon the lender. The interest doesn't change for a predetermined period in the beginning. This period ranges from 1 year to 10 years. When this period is over, change in the rates take place according to the agreement between the lender and borrower. The 2 percent swing, that was normal in the past, has been replaced by the 5 percent change recently. This option is good if you plan for a short duration and can move before the fluctuation in interest starts.

Balloon Mortgage
Another option for mortgage finance and housing requirements is a balloon mortgage. With this type of mortgage you don't have to pay the total borrowed amount even when the term of the loan is over. The amount left with the borrower differs from lender to lender. An interest only balloon mortgage is also possible. If you choose it, you need to pay only the interest every month and the original amount borrowed at the end.

Bi-Weekly Mortgages
Everybody is looking for ways to save interest on mortgage finance and housing. Bi-weekly mortgages save a significant amount of interest, because you pay half of the installment every two weeks. This increases the number of payments to 26 instead of 24. At first sight, it does not look impressive, but the results are rewarding. A bi-weekly mortgage at a 4.5 percent interest rate for a 30-year period can be paid back in 24 years and six months and you save a huge 28 percent.

Bridge Loans
If you have built in equity from your old house and plan to buy a new one, then you can choose this option to meet the requirement of a down payment. When you sell the old house, you repay the loan.

Construction Mortgages
This loan is ideal if you are constructing the new house. When you complete the construction work, convert it in to a conventional mortgage. However, you need to pay a higher rate of interest.

Additional Help
You may seek professional help available online regarding your mortgage financing. There are experts in the field and software, which can make the process of purchasing property easier.
About the Author
David Gass is President of Business Credit Services, Inc. His company publishes a free weekly e-newsletter on Small Business Consulting at their web site http://www.smallbusinessconsulting.com
Rating:
Please Rate:
(Average: Not rated)
Views: 158
Print Email Report Share
Article Categories
    • Artists
    • Gambling
    • Humanities
    • Humor
    • Movies
    • Music
    • Photography
    • Tattoos
    • Television
    • Classic Cars
    • Motorcycles
    • Recreational Vehicles
    • SUVs
    • Trucks
    • Vans
    • Branding
    • Business Opportunities
    • Careers and Jobs
    • Corporate
    • Customer Service
    • Direct Mail
    • Entrepreneurship
    • Ethics
    • Financing
    • Franchising
    • Home-Based Business
    • Human Resources
    • Import and Export
    • Leadership
    • Management
    • Market Research
    • Marketing and Advertising
    • Negotiation
    • Network Marketing
    • Networking
    • Organizational
    • Presentation
    • Project Management
    • Public Relations
    • Small Business
    • Strategic Planning
    • Team Building
    • Telemarketing
    • Training
    • Data Recovery
    • Databases
    • Games
    • Hardware
    • Networks
    • Operating Systems
    • Programming
    • Security
    • Software
    • Spyware and Viruses
    • Ask an Expert
    • College and University
    • Home Schooling
    • K-12
    • Languages
    • Online Education
    • Psychology
    • Coffee
    • Cooking
    • Gourmet
    • Recipes
    • Wine and Spirits
    • Acne
    • Aerobics
    • Alternative Medicine
    • Beauty
    • Cancer
    • Cosmetics
    • Depression
    • Diabetes
    • Diseases and Conditions
    • Fitness Equipment
    • Fitness
    • Hair Loss
    • Heart Disease
    • Medicine
    • Men's Health
    • Muscle Building
    • Nutrition
    • Skin Care
    • Supplements and Vitamins
    • Weight Loss
    • Women's Health
    • Yoga
    • Arts and Crafts
    • Babies
    • Collecting
    • Elderly Care
    • Genealogy
    • Hobbies
    • Parenting
    • Pets
    • Pregnancy
    • Woodworking
    • Feng Shui
    • Gardening
    • Home Appliances
    • Home Security
    • Interior Design
    • Landscaping
    • Affiliate Programs
    • Article Marketing
    • Auctions
    • Audio
    • Banner Advertising
    • Blogging
    • Broadband
    • Domain Names
    • E-Books
    • E-Commerce
    • Email Marketing
    • Ezines and Newsletters
    • Forums
    • Internet Marketing
    • Link Popularity
    • Pay-Per-Click
    • Podcasting
    • RSS
    • Search Engine Marketing
    • Search Engine Optimization
    • Security
    • Social Media
    • Spam
    • Video
    • Viral Marketing
    • Web Design
    • Web Development
    • Web Hosting
    • Copyright
    • Cyber Law
    • Intellectual Property
    • National, State, Local
    • Patents
    • Regulatory Compliance
    • Trademarks
    • Buying
    • Selling
    • Baseball
    • Basketball
    • Boating
    • Cycling
    • Extreme Sports
    • Fishing
    • Football
    • Golf
    • Hockey
    • Hunting
    • Martial Arts
    • Running
    • Scuba Diving
    • Soccer
    • Swimming
    • Tennis
    • Dating
    • Divorce
    • Marriage
    • Weddings
    • Astrology
    • Buddhism
    • Christianity
    • Faith
    • Hinduism
    • Islam
    • Judaism
    • Meditation
    • Metaphysical
    • New Age
    • Cable and Satellite TV
    • Cell Phones
    • Communication
    • Gadgets and Gizmos
    • GPS
    • Satellite Radio
    • Video Conferencing
    • VoIP
    • Addictions
    • Coaching
    • Goal Setting
    • Motivational
    • Stress Management
    • Time Management
    • Clothing
    • Electronics
    • Fashion
    • Gifts
    • Jewelry
    • Causes and Organizations
    • Environment
    • History
    • Holidays
    • Men's Issues
    • Nature
    • Philosophy
    • Politics
    • Women's Issues
    • World Affairs
    • Air Travel
    • Camping
    • Cruises
    • Destinations
    • Outdoors
    • Article Writing
    • Book Reviews
    • Copywriting
    • Fiction
    • Non-Fiction
    • Poetry
    • Quotes
    • Screenplay
    • Tools and Resources