most flexible mortgage payments you have heard of?

Question

Is there some even more flexible than 30 years?
Thanks!

Answer 1

Absolutely. As was mentioned, there can are loans that have a term (number of years until it is paid off) from 15-50 years. This lowers the monthly payment, but you pay the principle down lower.

In addition to the Option ARM mentioned above, you can choose loans that give you an Interest-only option. One particularily flexible program (that is also gives security) is the 30 year fixed with 10 year interest only. It locks a rate in for 30 years (unlike Option ARMs), but allows you to make interest only payments during the first 10 years.

Answer 2

The most flexible loan is an Option ARM, also called a NEG AM. This has 4 options each month...30 year, 15 year, interest only, or a minumum payment less than the full interest only payment. If you choose the minimum payment option the difference between that payment and the interest only amount is added to your loan balance. It can provide flexibility for tight months but should not be used as a long term solution.

For more information on how the credit can impact this and how to manage it check my blog.

Answer 3

There's a 40 year, 50 year... You have rates fixed for 7, 5, 3, and 1 years... and some that adjust every month. A good starting point for your loan program research, http://www.choicefinance.net/mortgage_loan_programs.htm