- The most popular kind of mortgage is a 30-year fixed-rate loan.
- “Fixed rate” means the interest rate remains the same for the life of the loan.
- You can save on interest by making a 15-year mortgage, but the monthly payments will be higher.
Who Are Mortgage Providers?
Mortgage banks, commercial banks, mortgage brokers, and credit unions originate mortgages. These entities underwrite loans that meet or exceed the parameters that the investor provides. Who is the investor? Mortgages are generally broken into three categories: conventional loans, government loans, and non-conventional loans.