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Are interest only mortgages a good idea?
No, why would you want to pay for interest only on a mortgage and not the principle. In order to pay the mortgage off you have to pay on the principle.
What is an interest only loan for a mortgage?
An interest only mortgage is when you only pay back the interest you owe - you always stay at the same level of debt it just doesnt grow. on a re-payment mortgage you are "repaying" the money you owe. (slowly!) - see below borrow 100,000 interest =5% on interest only you would pay 500 a month (5% of 100,000) if on repayment you pay 1000 a month - but each month you still pay off your 5% interest plus 500 comes off the total you owe. ***figures as examples obviously***
What is a straight term mortgage?
When you pay the the interest in the beginning and later pay the principal
Should you pay off your mortgage?
Yes, if you have the cash and don't qualify for the tax deduction on the mortgage interest.
Is it better to pay additional principal or additional interest on a home mortgage?
I'm not sure it's possible to pay additional interest on a mortgage, unless your mortgage company made a mistake and charged you too much. Your interest payment is calculated by your loan servicer, and you technically can't pay EXTRA interest. Any excess money you pay on your loan will go towards the principal, which is always a good idea, if you can afford it.
Do you still have to pay monthly mortgage if you have a reverse mortgage?
No, the purpose of a reverse mortgage mortgage is to eliminate mortgage payments permanently.
Why despite the huge reduction in Interest rate in the US to quarter a prcent Mortgage lenders still charge home buyers an interest rate as high as six percent without passing any reduction?
Because mortgage lenders make money by charging more interest than they pay.
How are home mortgage rates calculated?
Mortgage rates are calculated based on the 10-year Treasury bond. This mean that usually when bond rates go up so do interest rates and interest rates are part of what we pay when we pay our mortgage. Mortgage rates are also calculated based on how much of a loan we need to finance our home purchase. One will pay an interest rate on the loan amount.
Do you still have to pay back your mortgage if your house for sale?
Of course. Until you pay off the mortgage loan, you have to pay payments on the home.
Your husband passed away you have joint mortgage do you still have to pay mortgage?
yes
Can you take out a mortgage to pay off loans that you already have out?
yes, when you take a second bond on your mortgage your pay less interest rates so that is the better option
What is a mortgage interest rate?
In short the interest rate is the amount in percentage charged on your capital amount of your mortgage to you pay in addition to the actual amount loaned for the purchase of your house.
