How do I know if an adjustable-rate mortgage is right for me?
Homebuyers can choose between adjustable-rate mortgages (ARMs) or fixed-rate mortgages during the loan process. The best type for you depends on your personal and financial goals, including how long you plan to stay in a home and the monthly payments you can initially afford. Let’s dig into how an adjustable-rate mortgage works, the difference between […]
What is an Adjustable-Rate Mortgage AKA an ARM loan?
First, let’s define precisely what an ARM loan is, otherwise known as an adjustable-rate mortgage. An ARM loan is a mortgage with a variable interest rate. The initial interest rate will be fixed for a specific period. After that initial period is over, the interest rate on the outstanding balance will reset periodically, at yearly […]
Do I need a bridge loan?
The gap between a new home purchase and selling your old one can be tricky. Many homeowners lack the funds to put a down payment on a new home until they are able to sell their existing home, or they need a place to live before they can sell their home. If you’re in one […]
How do bridge loans work?
If you’re about to orchestrate a home purchase and sale simultaneously, you may end up in need of a bridge loan. This type of loan can potentially remove a large stressor that comes from purchasing and selling a home at the same time: It covers the costs of a purchase while you wait for your […]
Pros and cons of bridge loans
Homeowners who have to buy a new home before they are able to sell their current one often need a quick source of funds to complete the purchase. Situations such as this call for what’s known as a bridge loan: A short-term loan that “bridges the gap” between a home sale and purchase. If you […]