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  #1  
Old 05-18-2017, 10:02 AM
personallawyerflorida personallawyerflorida is offline
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Post Which is better, a fixed or variable rate loan?

Plz give me a right suggestion about the question.....
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  #2  
Old 06-07-2017, 02:35 AM
divi divi is offline
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Default Re: Which is better, a fixed or variable rate loan?

Fixed rate loan is your interest would be fixed. There won't be any changes in the interest rate.It would be the same interest rate you need to pay which you agreed upon while taking the loan. Where as variable interest rate is the interest rate keeps changing according to the market and it also depends on the outstanding balance. Fixed rate you would pay so much interest by the end but in variable you can save whenever there is drop in the interest rate. But there can be a raise in the interest rate also. So it would be better if you calculate it with the loan amount you needed. http://www.mymoneysouq.com/loans/com...onal-loans-uae
Check this. May be you will get a clear idea.
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Old 08-16-2017, 01:54 AM
emortgageconnect emortgageconnect is offline
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Default Re: Which is better, a fixed or variable rate loan?

Ultimately it depends on your goals. If you expect to still have the debt or not. Where you think the market will go, etc.
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Old 08-16-2017, 04:41 PM
Kuznec Kuznec is offline
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Default Re: Which is better, a fixed or variable rate loan?

The fixed rate is more reliable, believe in my experience, I know what I'm saying.
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Old 09-07-2017, 03:16 AM
g_nicks g_nicks is offline
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Default Re: Which is better, a fixed or variable rate loan?

Almost always fixed. With a fixed rate mortgage you hold the whip. If interest rates decline you can refinance though that may involve a penalty. If interest rates go up (and in this environment that is pretty likely to happen) your lower rate is locked in. I suppose that in a high interest environment ARMs might have an advantage in that if rates decline the rate on your mortgage will decline without the need to refinance.
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Old 11-07-2017, 03:57 AM
Banknomics Banknomics is offline
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Smile Re: Which is better, a fixed or variable rate loan?

Floating Vs Fixed Vs Semi-Fixed fee loan

Benefits of Floating Rates


If you are choosing floating rates for home loan India then you may avail following benefits:-

Suitable for long tenure (i.e. more than 20 years)

Opt for this scheme when income flow is adequate to service the rate fluctuation

Ideal when the interest rate is expected to fall

Suited to loan borrowers who can take risks (for example, borrowers aged 30-35 years)

Benefits of Fixed Rates

If you are going to get Fixed rates for a home loan then you can have following benefits:-

Ideal for short/medium terms

Opt for this when the income flow is not expected to grow

Ideal when the interest rate is expected to rise

Suited to loan borrowers who do not want to take risk(for example, borrower aged 50 years)

Benefits of Semi-Fixed Rates

If you are going to get Semi-Fixed rates for a home loan then you can have following benefits:-

Suitable for medium terms

Opt for this scheme when the income flow is not expected to grow

Ideal when the interest rate is expected to rise in the short term and then fall

Suited to loan borrowers who do not want to take risk
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Old 11-13-2017, 02:49 PM
Adak71 Adak71 is offline
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Default Re: Which is better, a fixed or variable rate loan?

Thanks for the answers, they are definitely helpful for me.
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Old 11-16-2017, 06:42 PM
ALee - HomePromise ALee - HomePromise is offline
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Default Re: Which is better, a fixed or variable rate loan?

You ask a great question that our company has spent time researching over the years. In discussing fixed vs adjustable options with our clients we find it depends on your personal situation. Fixed rate mortgages are best if you intend to stay in a home for the long term. Adjustable rate mortgages can save you money in the first few years of the mortgage but have the risk of rising in the future. Given that rates are at historic lows we counsel most of our clients to consider a fixed rate mortgage as their best option. In the mortgage crisis of 10 years ago, adjustable rate mortgages created un-affordable housing payments for many people which led to foreclosure.

HomePromise Corporation
800-405-6520
NMLS ID 102836
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