



 Fixed rate loans
A mortgage in which the interest rate does not change during the entire term of the loan.
 Adjustable rate loans
A mortgage in which the interest rate changes periodically, according to corresponding fluctuations in an index.
 Balloon loans
A mortgage that requires the remaining principal balance be paid at a specific point in time. For example, a loan may be amortized as if it would be paid over a 30 year period, but requires that at the end of the 10th year the entire remaining balance must be paid.
 Jumbo loans
A mortgage that exceeds the generally accepted secondary market loan limits which vary annually.
 Construction loans
A short term, interim loan for financing the cost of construction. The lender makes payments to the builder at periodic intervals as the work progresses.
 Interest Only loans
An Interest Only mortgage only requires monthly interest payments. Since you are not paying any principal, this can lower your monthly payment. At the end of the interestonly period, your loan reverts back to its original terms, with the monthly payments adjusted upward to reflect full amortization over the remaining years of the loan.


