Where Can I Find An Affordable Fixed Rate Mortgage | Mortgage

By ZindyMaseko
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For many home buyers, the only real decision they have to make is whether to have a 15 or 30 year fixed mortgage rate? Buying a home later in life means that many people want to have the mortgage paid off early. There are always things to take into account before signing documents. Over the period of the loan, it's important to remember to make sure the interest rate remains the same.

Steer clear of lenders that are offering unbelievable deals because they probably are. Loans agreed with a 15 year fixed mortgage keep the same interest rate throughout the entire life of the agreement. This is of great benefit for anyone that does not like surprises. My wife and I had already decided to research long term fixed mortgage rates when we started looking at homes for sale.

Although paying off the mortgage was our main priority, we did not want to have monthly payments that were uncomfortably high. This meant we had to consider 30 year fixed rate mortgage plans as well as those of 15 years. The 15 year fixed mortgage rate was the plan we really wanted because neither of us wanted to be still paying a mortgage when we close to retiring. We were worried about the emphasis placed on early completion of the mortgage.

Taking everything into account we finally went for the easier 30 year mortgage plan instead. There were many things that lead us into making this choice. The main reason was that I found out my wife was pregnant. My wife decided she wanted to raise our child at home so I couldn't be certain of her monthly financial commitment to our household expenses. Our monthly payment would have been too high if we had committed ourselves to the 15 year fixed mortgage plan. We knew that it just wasn't an option and the risk was too great. A thirty year loan brought the monthly payments down to a reasonable level.

Making a few additional lump sum payments during the year helps bring down the amount owed. It is possible to take years off your loan if you can make a few extra payments during each year. Although this isn't easy to achieve, in the long term it is well worth it.

Our first choice would have been to go for the short term 15 year fixed rate mortgage solution but this did not help with our more immediate situation. In retrospect, everything worked out ok for us by going down this road.

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