Mortgage & Lifetime Solutions provides fair, friendly and honest fixed-rate mortgage solutions in Bromley. Robert White, our company’s advisor, has more than 25 years of experience in the mortgage industry. This wealth of experience allows us to educate and advise clients about the various types of mortgage options available for homebuyers.
Fixed-Rate Mortgages: An Overview
A fixed-rate mortgage is a loan with a set interest rate that stays constant for a fixed period. This fixed-rate loan can run anywhere from one to fifteen years. One- and fifteen-year mortgages are rare, as they’re only available for individuals who have specific borrowing requirements. The common options for homebuyers are two- and five-year fixed loans.
Choosing this type of mortgage allows you to enjoy the following benefits:
- Protection Against Rate Increases – The interest rate is stationary for the entire mortgage term. Your monthly payments are unaffected if the base interest rate soars.
- Predictable Payments – Since the interest rate stays fixed, you know exactly how much you’re going to pay each month. This allows you to budget more seamlessly.
- Easier to Compare Mortgage Options – Fixed-rate deals have less moving parts, which lets you easily compare fixed-rate mortgage from various lenders.