If you are sure, that you will be able to put down at least 20% of the property purchase price, don’t bother to read this article - there is no way any lender should make you pay this insurance. Mortgage insurance is something that happens to you only if you cannot make a 20% down payment.

Well now, if are still reading, that means you are looking for the best way to attend to the 20% business.  Read the rest of this article »

 First of all, Interest-Only is not a separate mortgage type. It is an option that can be attached to virtually any mortgage repayment plan enriching it with its benefits or disadvantages (or both). Interest-Only has different effect on different plans, but it practically always makes the overall cost of a mortgage higher, as well as brings certain quite pressing issues into the sums to be paid monthly when the interest-only period is over. Always study the advantages you buy at the price thoroughly - they have to be really worth it.

The idea of the Interest-Only option is that your monthly payment pays in fact only the interest. You sort of pay some “salary” to the lender for using his money, but it remains his money anyway, as well as your (still potentially your) home remains his, too. No mortgage is 30 years interest-only nowadays, so eventually you are expected to start paying the principal off - only at that stage you will start to really buy out your home. Read the rest of this article »