How to Change
Homeowners can save money by changing their present mortgage loan to an interest-only mortgage. A normal mortgage loan contains interest and principle payments. Because donations are not initially made toward the principle balance, an interest-only loan frequently includes a lower payment. According to the Federal Reserve site, most fixed-rate mortgages have adjustable rates of interest that change over the period of the loan. Refinancing your current loan may enable you to acquire an interest-only mortgage.
Review your credit report before contacting a mortgage lender. This will provide an opportunity for you to dispute mistakes on your credit report and to pay any past due items or delinquent accounts. There is that A credit report in good position can place you.
Details from your lender. Your lender can provide various fee and rate options for interest-only loan products. Ask for an investigation that reflects the benefits of getting an interest-only loan from the present loan.
Shop for loans that are interest-only in the Lending Tree website. You can review offers from lenders that engage in the Lending Tree network.
Convert your present mortgage loan by applying for an interest-only mortgage loan. Choose the lender that offers rates, terms and fees that are acceptable to you. You need to finish a lender-provided mortgage loan program, in addition to national and state disclosures.
Meet with a settlement agent to examine and sign the final documents on your interest-only mortgage loan.