Mortgages

In my last few posts I’ve presented information about the traditional mortgage and adjustable rate mortgage:  The traditional mortgage is the most popular way to finance buying a house in the United States. An adjustable rate mortgage has features beneficial to someone with a fluctuating income.  (Those same features can turn detrimental if the homebuyer is not prepared to make payments that grow larger over the life of the mortgage.)

Compared to the traditional mortgage, an adjustable rate mortgage is creative financing—but it is acquired through traditional lenders, like banks.  A tight economy (or a less than appealing financial history) makes obtaining a mortgage from those sources difficult.  But, it may not be impossible to find financing.

Earlier in this series I brought up owner financing as an alternative to obtaining a mortgage from a traditional lender.  My next post will address ways motivated sellers provide funding in lieu of or in addition to a mortgage.

Owner Finance