The convertible mortgage instruments (CMIs) have initial adjustable interest rates that are usually lower than those on new fixed-rate mortgages and the switch to a fixed-rate loan in the future typically is cheaper than refinancing an old mortgage.

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Convertible mortgage instruments start with adjustable rates that are generally lower than fixed-rate mortgages. They offer the option to convert to a fixed rate in the future, often at a lower cost than refinancing an existing mortgage, providing both initial savings and future financial flexibility.

The Convertible Mortgage Instruments (CMIs) Have Initial Adjustable Interest Rates