A mortgage is the Transfer of an interest in property to a loaner as a precaution for a balance due, generally for a loan of money. Mortgage industry is also known as the housing finance industry. Mortgages are basically connected with loans available on real estate rather than on other property. A mortgage is the only method by which mortals and businesses can buy real estate without the need to pay the full value immediately from their own resources.
Indian Mortgage rate is classified into two types; they are fixed Mortgage rate and flexible mortgage rate.
Fixed Mortgage rate: The rate of interest remains set throughout the period when the loan is taken no matter of the other parameters like the principle paid, actual rate of interest and the time allotted for repayment. Interest rate is fixed to a previously advised rate which regularly comes in increments of 12.5 % or 25 %.
Flexible Mortgage rate: In this the interest rate may adjust or float based on many parameters. This mortgage rate is also known as adjustable Mortgage rates or flexible mortgage rates.
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