Your home is probably the largest purchase you will ever make. You can lower the overall amount that you pay by finding ways to pay less interest over time. Sun West Mortgage offers loans that can help you achieve this goal.
1. Adjustable Rate
An adjustable-rate loan does increase your payments as the loan term progresses. However, it also starts you at a lower interest rate, so you may save money in the long run. As long as you budget for the higher payments that are expected later, this can be a great way to pay less overall, particularly if the market cooperates and doesn’t spike your interest rate!
2. Shorter Term
It stands to reason that the shorter the time you spend making payments, the less you are likely to pay in interest. You are charged interest every month that you make a payment. You may like the lower monthly payments of the 30-year loan, but it will cost you much more. Choosing a 15-year loan from a top mortgage lender is a smart way to reduce the amount you pay for your home.
As large a purchase as a home can be, it can still be manageable. Your lender can recommend ways to reduce the overall amount you pay while still staying within your budget.