Mortgage Information for home buyers and sellers

THE MORTGAGE

KNOW YOUR OPTIONS

FIXED RATE MORTGAGE

Fixed interest rate, usually long term; equal monthly payments of principal and interest until debt is paid in full.

FIFTEEN-YEAR MORTGAGE

Fixed interest rate. Requires down payment or monthly payments higher than that of a 30 year loan. Loan is fully repaid over 15 year term. The interest rate is often slightly less than the 30 year rate.

ADJUSTABLE RATE MORTGAGE

The Interest rate changes over the life of the loan, resulting in possible changes in your monthly payments, loan term, and/or principal. Some plans have a rate or payment cap.

BALLOON MORTGAGE

Monthly payments based on a fixed interest rate; usually short-term; payments may cover interest only with principal due in full at the end of the term.

GRADUATED PAYMENT MORTGAGE

Lower monthly payments rise gradually (usually over 5-10 years), then level off for the duration of term. With an adjustable interest rate, additional payment changes are possible if the index changes.

ASSUMABLE MORTGAGE

Buyer takes over seller's original loan, usually below-market rate mortgage.

LAND CONTRACT

Seller retains original mortgage. No transfer of title until loan is fully paid. Equal monthly payments based on below-market interest rate with unpaid principal due at the end of the loan.

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BUY-DOWN

Developer (or other party ) provides an interest subsidy which lowers monthly payments during the first few years of the loan. Fixed or adjustable interest rates.

RENT WITH OPTION TO BUY

Renter pays "option fee" for the right to purchase property at a specified time and agreed-upon price. Rent may or may not be applied to sales price.

REVERSE ANNUITY MORTGAGE

"EQUITY CONVERSION"

Borrower owns mortgage-free property and needs income. Lender makes monthly payments to borrower, using property as collateral.

HERE TO EMAIL JIM SPANGLER

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HOMES FOR SALE IN THE DAYTON OHIO AND SURROUNDING AREAS

RELOCATION SERVICE TO AND FROM THE DAYTON OHIO REAL ESTATE AREA

Whether you are interested in buying, selling, investing, renting or just want to stay updated on the Dayton real estate market, this site has all the resources and tools you need to help prepare yourself for a great real estate experience here in Ohio .