Welcome to Mortgage Loans Guide
No Fee Mortgage Loans Article
. For a permanent link to this article, or to bookmark it for further reading, click here.
Different Kinds of Mortgage Loans
from:A lot of people often take out mortgage loans to help them pay for houses that they wish to own. While the primary use of a mortgage loan is indeed to help with the payment of a house, there are other reasons why people take out these loans. There are a few distinct types of mortgage loans for different uses, needs and situations. Here are some of the more common types of mortgage loans and what you can expect of them.
Fixed Rate Mortgages
This is the most common among mortgage loans available to borrowers. With this kind of mortgage, the lender and the borrower will agree on a fixed monthly rate, interest included, which is to be paid over a certain period of time. The advantage of choosing this kind of mortgage loan is that you don't have to worry about fluctuating interest rates and the rise and fall of the real estate market. However, some people do not find this kind of mortgage loan appealing, because the interest rate is usually pretty high compared to other types of mortgage loans. Another concern that people have with this kind of mortgage is that they cannot benefit from falling interest rates because the rate is fixed. Fixed rate mortgage loans are ideal for those who do not wish to go through the hassle of having to compute their payments every month.
Adjustable Rate Mortgage or ARM
When you talk about Adjustable Rate Mortgage, you are essentially talking about mortgage loans that rise and fall with the real estate market. This kind of mortgage loan can be beneficial to the borrower when interest rates fall, but it can also be a problem if the real estate situation in your area show signs of going up. Adjustable rate mortgage loans are a good option for those who are living in areas that are showing decline in interest rates, as well as those who are seeing a rise in their incomes. One reason why people choose this kind of loan is because the initial interest rate is usually lower compared to other types of mortgage loans.
Balloon Mortgage
The term “balloon” refers to a large amount of payment that is made towards a mortgage loan. The balloon mortgage loan is the ideal option if you want to shorten the repayment period for your loan. This type of loan actually works like a fixed rate loan in the beginning, but it requires you to pay off the balance in a large sum at the end of the loan term.
No Fee Mortgage Loans News
Supreme Court says families cannot sue mortgage company over loan discount fee
The Supreme Court ruled unanimously Thursday that three families cannot sue a mortgage company for allegedly charging them a loan discount fee without giving them a lower interest rate. ...
Read more...Court: Families cannot sue over loan discount fee
The Supreme Court ruled unanimously Thursday that three families cannot sue a mortgage company for allegedly charging them a loan discount fee without giving them a lower interest rate.The high court's ...
Read more...U.S. Supreme Court sides with Quicken Loans in Louisiana case involving loan fee
WASHINGTON (AP) — The U.S. Supreme Court ruled unanimously today that three families cannot sue Detroit-based Quicken Loans Inc. for allegedly charging them a loan discount fee without giving them a lower interest rate.
Read more...Supreme Court: Families cannot sue over loan discount fee
WASHINGTON — The Supreme Court ruled unanimously Thursday that three families cannot sue a mortgage company for allegedly charging them a loan discount fee without giving them a lower interest rate. The high court’s decision tosses out lawsuits filed in 2008 against Quicken Loans, Inc., in Louisiana by three families who claimed they paid the [...]
Read more...Supreme Court limits reach of 1974 real estate law
WASHINGTON (Reuters) - Supreme Court on Thursday made it harder for home buyers to sue mortgage lenders for certain overcharges at settlement, limiting the reach of a provision of a 1974 federal law on real estate settlement procedures. The Supreme Court's unanimous ruling was a defeat for three couples in Louisiana, who claimed that Quicken Loans overcharged them as much as $1,100 at their ...
Read more...