An open mortgage will carry a lower interest rate than a closed mortgage.

Name: An open mortgage will carry a lower interest rate than a closed mortgage.
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A closed mortgage typically carries a lower interest rate because the borrower is committing to a specific term and is less likely to default on the loan. An open mortgage allows the borrower to make additional payments or pay off the mortgage entirely without penalty, but this flexibility results in a higher interest rate.

An Open Mortgage Will Carry a Lower Interest Rate Than