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Adjustable Rate Mortgage Research Paper

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Adjustable Rate Mortgage Research Paper
One of the advantages of an adjustable-rate mortgage is that it first starts the payments off low. This is good for people wanting a larger house but smaller house payments. It is also good for home buyers that need a house but cannot afford the fixed mortgage rate at that time. The bad part is that the adjustable mortgage-rate loan’s rate will change according to the rate reset every few month to a year. This makes it hard for the home owners to adjust making the payments if the mortgage rate goes up (Plaehn, & Media, 2013). With getting an adjustable-rate mortgage the borrowers can save and invest more money for other things or save it for when the rates go back up and their mortgage payment goes up. Back in the year 2009 millions of
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