What is a fixed rate mortgage?

What is a Fixed Rate Mortgage?

By definition, Fixed Rate Mortgage is a fully amortized loan with a fixed interest rate and fixed monthly payment plan. The monthly payments you pay include the amount for both the principal sum borrowed, as well as the interest on the borrowed sum. The monthly payment plan ensures that the loan is paid in full with interest at the end of the loan term.

How Does Fixed Rate Mortgage Work?

The monthly payment on the loan is equivalent to the interest rate times the principal sum, in addition to a small portion of the principal. Each month, the principal amount gets paid off, making the interest payment on the rest of the loan amount less. Eventually, towards the end of the term, most of the payment goes to pay off the principal. 

Global Realty & Finance, a Trusted Name for Fixed Rate Mortgage Loan

No matter if you are buying your first home or wanting to refinance an existing one, the interest rate on the mortgage taken from the lender will never change.

As a reliable finance establishment, we serve homeowners and loan seekers from across the state and are committed to offering a hassle-free loan experience. 

With us, you have the option to choose from traditional to special mortgage plans like FHA, USDA, VA, and more. 

Reasons to Apply for Global Realty & Finance Mortgages Programs: 

  • You can avail a monthly fixed-rate mortgage payment program.
  • The interest rate on the amount borrowed never increases through the term of the loan.
  • We offer the option of low monthly payments on a fixed-rate mortgage for the long-term duration.
  • The interest on a fixed-rate mortgage is tax-deductible.
  • We provide a wide range of down payment options and closing cost assistance plans.
  • You can choose from 15-year and 30-year fixed-rate mortgages.
  • We offer programs with a minimum 3% down payment and maximum 100% financing. 

What is a 30 year fixed mortgage rate?

A 30-year fixed-rate mortgage is an affordable loan program that spans over 30 years. Given the repayment plan is spread over a longer time span, it is on the most affordable mortgages available to homeowners. Although the interest rate is comparatively higher, the monthly payments offered with the loan is very low. 

If you are buying a house and plan to keep it for a long time, a 30-year fixed-rate mortgage plan will serve you just right. 

Wondering what is a 15 year fixed mortgage rate?

It’s generally referred to as a short-term mortgage plan. Since the repayment plan of the loan amount is spread over only 15 years, the monthly payment is comparatively higher. 

However, being a short-term loan, the interest rate on a 15-year fixed-rate mortgage is less. Less interest amount equals more yearly savings. Low-interest rate means most of your monthly payment will go towards the principal amount sooner, which will increase your home’s equity faster. 

Apply Now!

At Global Realty & Finance, you can find the best monthly payment plans on affordable interest rates for 15-year and 30-year fixed-rate mortgages. 

To apply for a loan or consult our experts, contact us here.

Scroll to Top