Other factors being equal,fixed-rate mortgages will have higher interest rates initially than adjustable-rate mortgages.

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Quizplus · Accepted Answer

This is true. Fixed-rate mortgages offer a stable and predictable interest rate, meaning the lender takes on more risk and may initially offer a higher interest rate to compensate for that risk. In contrast, adjustable-rate mortgages have rates that can fluctuate based on market conditions, meaning the lender takes on less risk and may initially offer a lower interest rate.

Other Factors Being Equal,fixed-Rate Mortgages Will Have Higher Interest Rates