Can One Loan Be Best for Any Homeowner From 18-108?

How could one loan Satisfy the Needs of every homeowner? Yet Many people get a Home Loan for 30 years. Won't a persons needs change many times over the 30 year life of this loan? So the best loan for every homeowner would need to be flexible.

When you buy your first home often your income will often be much lower then it will be 10 or 20 years in the future. You may need a low loan payment offered by an interest only or Adjustable rate mortgage to qualify for your loan.

As your income goes up you may want to pay your loan off sooner or possibly switch to a fixed interest rate. A 15 or 30 Year Fixed rate may be the perfect choice at this point in your life.

If you were to encounter an economic hardship, such as a Layoff, Disability or pay cut you may want to switch to an Interest only loan.

Over the 30 year life of your loan it is not uncommon to go through cycles where each of the above loans types are Best. An Interest only loan may be the best loan for a period of time, followed by a period of time where a 15 Year fixed is perfect, then followed by a period of time where an ARM is the best loan.

In the past you would have to go through the expensive process of refinancing your house each time your needs changed. Not anymore, You can get a product called a power option ARM. A Power option ARM gives you options. Every month when you get your mortgage statement comes you choose to pay your loan, as if it were an Interest only, 30 Year Fixed, 15 Year Fixed or an ARM.

Now you can get a 30 Year loan that adapts to whatever cards life deals you from a 7 High to a Royal Flush you are in control with a Power Option ARM.