Free Mortgage advice - First Mortgage Loan
Everybody who has purchased a home with a mortgage knows that if the mortgage runs the full term more is paid to cover interest charges than the initial cost of the house.
Consider a first mortgage loan for the sum of $250,000 at 8% with a 30-year repayment period. If such a first mortgage runs the full term it will incur more than $410,000 in interest against the $250,000 principal amount borrowed initially. Therefore the house that was offered at a selling price of $250,000 ends up costing $660,000.
It is absolutely imperative that before taking on your first mortgage loan, you familiarize yourself with the financial implications. Your objective should be to get the best deal for your first mortgage loan because it is amongst the biggest financial decisions you will be called upon to make.
Most people think of a mortgage as a loan but that is only part of the story. So remember when you are considering your first mortgage loan that you are seeking a sum of money in return for the mortgage you give to the lender. That is to say that the loan is secured against the property you are intending to buy.
Before you enter into your first mortgage loan commitment you should find out as much about mortgages as you can. There are many different kinds of mortgage some of which are listed below.
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