The prospect of owning your own house is exciting, but the process of buying one can seem daunting. One option that some homebuyers consider is a balloon mortgage. With this type of loan, you make lower monthly payments for a set period of time, and then a large “balloon” payment is due at the end. Balloon mortgages can be a good choice for some people, but they also come with risks.
Here are some expert tips for maximizing the benefits and minimizing the risks of balloon mortgages.
Tip #1: Understand the terms
Tip #2: Have a plan to pay the balloon payment
|Maximizing the Benefits and Minimizing the Risks of Balloon Mortgages: Expert Tips for Homebuyers