Apartments Houses

Getting the wrong mortgage might be the worst mistake of your life, hence picking the right one must be a well reasoned choice.
Your financial situation decides which is the best mortgage loan for you, there's no magic forumla involved.
Mortage loans can be classified in two main categories: Fixed rate mortgages and Adjustable rate mortgages; let's see the details.
Fixed rate mortgages
With a fiexed rate mortgage the interest rate and the monthly payment stay the same until the loan has been fully paid. This way you know how much you're going to pay and how long you'll have to pay that amount.
Usually mortgages for home purchases have a 15, 20, 30 (most common), or even 40 year term: it's definitely something you'll have to live with for a rather long period.
Adjustable rate mortgages
With an adjustable rate mortgage your rate will be adjusted every 1, 4 or 5 years.
You choose to get an adjustable rate loan because you think rates may get lower hence your monthly payment would be less than what you started with.
Usually adjustable rate mortgages have lower monthly payments at the beginning and may be conveniente in the long run assuming rates won't increase, but if the increase you'll be paying more than with a fixed rate mortgage.