We are totally focused on
our client's needs, and we
work to realize their
dreams as if they were our
own.
Rodney and Trina Joyner
Home Team Realty
our client's needs, and we
work to realize their
dreams as if they were our
own.
Rodney and Trina Joyner
Home Team Realty
Joyner Team
Home Team Realty
| 302-629-7711 realestate@joynerteam.com |
Choices that affect you loan
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• Mortgage term. Mortgages are generally available at 15-, 20-, or 30-year terms.
The longer the term, the lower the monthly payment if the same amount is borrowed.
However, you pay more interest overall if you borrow for a longer term.
• Fixed or adjustable interest rates. A fixed rate allows you to lock in a low rate for
as long as you hold the mortgage and is usually a good choice if interest rates are low.
An adjustable-rate mortgage is designed so that interest rates will rise as interest rates
increase; however they usually offer a lower rate in the first years of the mortgage.
ARMs also usually have a limit as to how much the interest rate can be increased and
how frequently they can be raised. ARMs are a good choice when interest rates are
high or when you expect your income to grow significantly in the coming years.
• Balloon mortgages offer very low interest rates for a short period of time—often
three to seven years. Payments usually cover only the interest, so the principal owed is
not reduced. However, this type of loan may be a good choice if you think you will sell
your home in a few years.
• Government-backed loans, sponsored by agencies such as the Federal Housing
Administration (www.fha.gov) or the Department of Veterans Affairs (www.va.gov), offer
special terms, including lower downpayments or reduced interest rates—to qualified
buyers.
Slight variations in interest rates, loan amounts, and terms can significantly affect your
monthly payment.
For help in determining how much your monthly payment will be for various loan
amounts, use Fannie Mae’s online mortgage calculators.
The longer the term, the lower the monthly payment if the same amount is borrowed.
However, you pay more interest overall if you borrow for a longer term.
• Fixed or adjustable interest rates. A fixed rate allows you to lock in a low rate for
as long as you hold the mortgage and is usually a good choice if interest rates are low.
An adjustable-rate mortgage is designed so that interest rates will rise as interest rates
increase; however they usually offer a lower rate in the first years of the mortgage.
ARMs also usually have a limit as to how much the interest rate can be increased and
how frequently they can be raised. ARMs are a good choice when interest rates are
high or when you expect your income to grow significantly in the coming years.
• Balloon mortgages offer very low interest rates for a short period of time—often
three to seven years. Payments usually cover only the interest, so the principal owed is
not reduced. However, this type of loan may be a good choice if you think you will sell
your home in a few years.
• Government-backed loans, sponsored by agencies such as the Federal Housing
Administration (www.fha.gov) or the Department of Veterans Affairs (www.va.gov), offer
special terms, including lower downpayments or reduced interest rates—to qualified
buyers.
Slight variations in interest rates, loan amounts, and terms can significantly affect your
monthly payment.
For help in determining how much your monthly payment will be for various loan
amounts, use Fannie Mae’s online mortgage calculators.