Government Fixed Rate
Self-employed Bank Statement Loan
Some Benefits of a Fixed Rate Mortgage:
One of the most popular ways to finance a Hawaii home or condo is with a 15-year or 30-year fixed rate mortgage. The fixed rate offers payment security in that the payment will never increase. Monthly payments will only adjust if a change is made to your homeowners’ insurance and property taxes, provided those items are paid with your mortgage each month.
Custom Loan Term
PHL offers Fixed Rate mortgages from 1 to 30 years. PHL makes it possible to select a loan term that best suits your payoff strategy. For example: If you plan to retire in 19 years, you may want to consider a 19-year fixed rate – please note, the custom loan term is not available for all the Hawaii fixed rate mortgage programs that PHL offers.
The Fixed Rate Alternative
The decision to go with a fixed rate should be considered very carefully. Not every borrower should go with a fixed rate. For example: If you are an investor and plan to sell the home in 7-years. You may want to go with a 7-year ARM. The 7-year ARM will have a lower interest rate and lower payment, with an initial fixed rate for 7-years. The monthly savings can be significant. Email us or see our adjustable rate mortgage to determine if a fixed rate is right for you.
The main disadvantage of the 30-year fixed-rate loan is that if interest rates decrease, the homeowner cannot take advantage of reduced rates without refinancing into a new loan, which can be costly. In addition, a 30-year fixed mortgage will usually have a slightly higher interest rate than loans with a shorter term or an adjustable rate.