The Best Mortgage For You

The search for a universal "best mortgage for you " is an impossible quest, because what is great for one buyer may not work well for another. Choosing the very best financing option for your home purchase or re-finance loan is about knowing both your current and potential future needs, and finding the right mortgage to meet them. Having someone to work with who not only understands how to choose the best mortgage to meet certain needs, but also has access to a wide variety of lender information is a big asset. A Mortgage Broker is an excellent choice for anyone searching for a mortgage. A great mortgage broker recognizes that no two situations are the same. With knowledgeable staff trained in evaluating the needs of those seeking a mortgage, coupled with the extensive list of lenders they partner with, a mortgage brokerage is on the leading edge of mortgage lending service. Most will also pride themselves in customer satisfaction, and are always interested in helping their clients find solutions to their needs.

Knowing which mortgage is best for your needs is the key to building a financially sound future for you and your family. The task of setting appointments with a variety of different financial institutions, and then sorting through the different terms and incentives to choose the right one for you can be very time consuming, and extremely stressful.

By opting to work with a mortgage broker, you eliminate the need to visit the financial institutions yourself one at a time, saving time, money and frustration. Using a mortgage broker gives you the opportunity to have a "one stop" mortgage shopping experience, with the added benefit of experienced staff to help with your decision making. You'll be able to rest assured that not only are you receiving the best options to choose from, but also that your broker is skilled at helping you choose the one that meets your needs now, and in the future. This will save you a great deal of frustration down the road!

When you're ready to start looking for a new home loan or refinancing option for your existing loan, Be sure to use a mortgage broker that offers a comprehensive list of services designed to meet the unique situational needs of their clients, and their changing financial needs as well. They are always happy to answer any questions you may have about what a mortgage brokerage does, and how they are different from other home loan companies.

About the Author

Mortgage Broker for The Mortgage Centre, offering seamless solutions to all your mortgage needs. For the best mortgage rates in Mississauga, new jersey mortgage rates, best mortgage rates in Toronto and the surrounding areas in Ontario visit his site today. http://www.gtamortgagematters.com/

Which mortgage is best for you?

The right loan is out there. You just have to examine its terms and your situation before deciding it is the one that fits perfectly.

By Ban

k rate.com

Mortgage lenders offer many features and restrictions that can be added to a variety of mortgage programs, but the following eight mortgage loans are the basic types you will encoun

ter. No single loan is best for all circumstances; some loan types work better than others, depending on individual circumstances and lifestyles.

Buying for the long haul

Loan: 30-year fixed rate.

Why: Financial peace of mind can be worth the higher interest rate that comes with an interest rate that

won't change for three decades.

Job

with good but inconsistent income

Loan: Option adjustable rate mortgage (ARM).

Why: These loans, considered among the riskiest offered in recent years, originally were designed for people with incomes that vary a lot from month to month. Each month you have a choice of payments: the full amount needed to pay off principal and interest as scheduled, an amount that covers only the interest owed that month, or an even smaller amount that doesn't even co

ver interest owed.

In a month in which your earnings are lean, you might choose to make one of the lower payments, even though that actually adds to the amount of debt you must eventually pay back. In a month of strong earnings, you could choose to make the full payment. Over time, however, your required payments could rise significantly if you have frequently chosen to make only the smaller payments.

Refin

ancing (15-20 years before retiring)

Loan: 15- or 20-year fixed or ARM.

Why: You can retire the loan before you retire from your job. A fixed rate generally has a higher interest rate than an adjustable but will give you more certainty in budgeting. However, if ARMs are significantly cheaper and your income can handle possible payment increases, you could save with the adjustable rate.

More from

MSN and Bankrate.com

Recent graduate with strong earnings potential

Loan: One-year ARM.

Why: Stretch your dollars with low interest rates during the years when your income is at its leanest. Your rate can go up (or down) each year, but interest-rate caps will limit that change to a predictable amount, and your rising income should be able to handle it. Watch out for loans that don't cap the interest rate but instead cap your payment. They could cause your indebtedness to grow even as you make monthly payments. ARMs also come in varieties that adjust -- up or down -- every six months or even more frequently.

Self-employed

Loan: No- or low-documentation loan.

Why: Though you'll pay a higher interest rate, not having to produce paycheck stubs or employer references, which you would be expected to supply when applying for a traditional loan, can be a huge help to those with variable incomes.

Planning to live in home 4 or 5 years

Loan: A 5/25 hybrid loan.

Why: If you won't keep the loan longer than five years, why pay extra to lock in an interest rate for a longer period? If you do end up staying longer, you can either refinance or live with an interest rate that adjusts every year.

Job relocation for a short run

Loan: Interest-only mortgage.

Why: While these loans can be risky for novice borrowers or those stretching to afford a home, they can be a smart tool for financially sophisticated borrowers who already have assets built up. Monthly payments are low because you're not repaying principal, so you can afford a larger loan. If you eventually sell the home for less than you paid, however, you could have to take money out of savings to pay back the full amount owed on your mortgage.

Active duty military or veteran

Loan: VA loan.

Why: The Department of Veterans Affairs offers loan guarantees that allow qualified military personnel and veterans to take out mortgages for as much as $417,000 with zero down payment. In Alaska, Hawaii, Guam and the U.S. Virgin Islands, that loan amount goes up to $625,000.

This article was reported and written by Elizabeth Razzi for Bankrate.com.