http://www.firststop4homeloans.com/posts/freddie-mac-saying-bye-to-interest-only-loans/ Everything you need to know about home loans, home buyer seminars and first time buyer programs Thu, 02 Sep 2010 12:48:45 +0000 hourly 1 http://wordpress.org/?v=3.0 http://www.firststop4homeloans.com/posts/freddie-mac-saying-bye-to-interest-only-loans/comment-page-1/#comment-32 Darcy Thu, 29 Apr 2010 13:56:04 +0000 http://firststop4homeloans.com/?p=171#comment-32 Great question! My guess is you're referring to an ARM, adjustable rate mortgage. For interest only, the term is normally 30 years, though you can do a shorter term if you want. Interest only just means you're paying just interest on the loan, no principal. After the interest only term, the loan reamortizes for the remaining term, so if 30 year, the first 10 are interst only and then whatever is owed is reamortized over 20 years to determine your payment. The ARM is different, as long as it's not interest only, in that your payment can adjust every 6 months, year or after a fixed period of say 3, 5, 7 or 10 years. Hope this helps! Great question! My guess is you’re referring to an ARM, adjustable rate mortgage. For interest only, the term is normally 30 years, though you can do a shorter term if you want. Interest only just means you’re paying just interest on the loan, no principal. After the interest only term, the loan reamortizes for the remaining term, so if 30 year, the first 10 are interst only and then whatever is owed is reamortized over 20 years to determine your payment. The ARM is different, as long as it’s not interest only, in that your payment can adjust every 6 months, year or after a fixed period of say 3, 5, 7 or 10 years. Hope this helps!

]]> http://www.firststop4homeloans.com/posts/freddie-mac-saying-bye-to-interest-only-loans/comment-page-1/#comment-30 eye treatment Wed, 28 Apr 2010 05:08:30 +0000 http://firststop4homeloans.com/?p=171#comment-30 I know APR loans are a bad idea, but how would an interest-only loan work? Would it still be a 30 year note, or do they extend the loan? I know APR loans are a bad idea, but how would an interest-only loan work? Would it still be a 30 year note, or do they extend the loan?

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