Fixed vs ARM Mortgage: How Do They Compare?

Fixed vs ARM Mortgage: How Do They Compare? | NerdWallet

Рет қаралды 31,060

Жыл бұрын

If you're in the market for a new home, you may be wondering what type of mortgage to choose. There are two main types of mortgages: adjustable-rate mortgages (ARM) and fixed-rate mortgages.
In this video, NerdWallet's Kate Wood compares the two to help you decide which one is the best option for your financial situation and goals.
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Fixed vs ARM Mortgage: How Do They Compare? | NerdWallet
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Пікірлер: 18

@jbroheretoday 8 ай бұрын

Excellent. Thank you so much.

@kalwubie6139 Жыл бұрын

Thank you so much darling so helpful

@Alex-mi6vp 8 ай бұрын

Great video, thanks!

@LAND_Academics Жыл бұрын

Thank youuuu

@zaheerahshareef8131 10 ай бұрын

I have a 30 year fixed rate mortgage but the way my property taxes and insurance changes it feels like an ARM 🤦🏾‍♀️

@Karen-pu1kz Ай бұрын

Shop around for different insurance I got a mortgage and went with the insurance they gave me for years until a bulb clicked and I decided to shop around a lot of people think you have to either the insurance they give you

@GardensoftheAncientsHerbal Жыл бұрын

If you can pay a lot in the first 5 years and reduce the principal then arms are worth it.

@sgeorge008 10 ай бұрын

Thank you.

@dreyzolusoga7711 10 ай бұрын

My question is - can I get an ARM, benefit from the introductory period by paying less interest. Then refinance to a Fixed rate just before the introductory period ends. This way, I’ve benefited from the low introductory rate for the first 3-5 years. Is there a penalty if you change from an ARM to a Fixed rate before the introductory period ends?

@prajwal1402 5 ай бұрын

you can but as she mentioned pay attention to refinance cost.

@charliem4867 Жыл бұрын

Interest is currently 10%. How the hell is that worth it even to begin with? 😂

@ogzombiebreakfast 10 ай бұрын

This just sounds like a variable rate mortgage with extra steps. There might be a 5 point cap, but that's a significant number. A change of even a single point is huge for most people, and even in your example, the cap is more than twice the original rate! This sounds like just another way of tricking poor people into gambling with their livelihood.

@brandhark7935 4 ай бұрын

Why is Linda Cardellini giving me mortgage advice? 😂

@jerp71 5 ай бұрын

$300,000 at 5.5% over a 30 year term, has a P&I payment of $1703.36, not $2159.

@Americaonline0 3 ай бұрын

I noticed that difference seemed off too

@jerp71 2 ай бұрын

Not sure how she’s computing that.

@xvx4848 Жыл бұрын

If you're looking at an ARM, 2008 called and wants to sell you a bridge.

@macsc5497 4 ай бұрын

I don’t understand the issue with an ARM. If you can’t refinance or you can’t afford the max payment you purchased a house you cannot afford. If you purchased something within your means by putting down 20% and/or paying it off before the introduction period ends you’ll never be under water and will always be able to refinance if necessary.