Since the mortgage rate is locked for the duration of the loan, Fixed Rate Loans allow borrowers to easily predict their monthly mortgage costs. This allows borrowers to easily budget from month to month. Do you enjoy certainty when it comes to your monthly bills? Than a Fixed Rate Loan may be for you.
The interest rate is fixed for the duration of the loan.
No surprises. You can rest assured your monthly interest payment is the same month to month.
Since the term and payment are fixed, Fixed Rate Loans are relatively easy to understand. No need to research how future rate increases will affect your loan.
Fixed Rate Loans are straightforward and therefore easy to compare from lender to lender.