When interest rates are low,and you are just starting off with your first home,what kind of mortgage should you get?

Question

Quizplus · Accepted Answer

When interest rates are low, a 30-year fixed rate mortgage is a good choice as it offers a stable and predictable payment amount over the life of the loan. This provides homeownership affordability, budget and financial stability, and long-term fixed costs. ARM or balloon payment mortgages may offer lower initial interest rates, but they come with a higher risk of payment shock in the future. Not obtaining a mortgage is not feasible for most first-time homebuyers as it is challenging to purchase a home for cash.

When Interest Rates Are Low,and You Are Just Starting Off