| tart --> | | | | Interest only mortgages have lower monthly payments |
| One of the newest mortgage products available is the | | | | during the interest only period; however, when this |
| 50 year mortgage loan. This is a typical home | | | | period ends the lender will re-amortize your loan for |
| mortgage drawn out over a fifty year period. The | | | | the remaining term length and your payments go up |
| main advantage of a 50 year mortgage loan is a | | | | significantly. By choosing a 50 year fixed rate |
| significantly lower monthly payment; however, there | | | | mortgage you will have a payment you can plan your |
| are drawbacks to a mortgage of this term length. | | | | budget around. |
| Here are several tips to help you decide if refinancing | | | | 50 Year Mortgage Drawbacks |
| with a 50 year mortgage is right for you. | | | | Homeowners are often tempted to purchase more |
| If you are in need of the lowest monthly payment | | | | home than they can afford with a 50 year mortgage. |
| possible but want to avoid interest-only mortgages, 50 | | | | You also have to pay an additional 20 years of |
| year terms are an affordable alternative. This | | | | interest on the loan. Your monthly mortgage payment |
| mortgage has the advantage of lower payments while | | | | will be lower; however, you will pay much more to the |
| still building equity in your home. The downside is that | | | | lender for your financing. |
| you will have an additional twenty years of interest | | | | There are still many more advantages to refinancing |
| payments to make. | | | | your mortgage with a 50 year loan. |
| Avoid Interest Only Mortgage Loans | | | | |