Payment Option Mortgage* (This program is no longer being underwritten)

 

 

The payment option mortgage, also known as the 1% home loan can be a very important tool for certain borrowers.  While this loan program is certainly not designed for everyone, there are certain unique circumstances when this loan can be the perfect tool for the borrower who understands all of the program's features.

 

These particular mortgage loan programs offer 4 unique payment options each and every month. 

 

The borrower can decide how they choose to pay their mortgage each month because of the monthly payment options provided to them. 

 

For example the borrower would have the option to make either:

 

     -  a very minimum payment each month which is less than the interest owed on the loan. (hence the 1% pay rate name)*

     -  an interest only payment which would cover just the interest due on the loan.

     -  a fully amortizing 30 year principal & interest payment.

     -  a fully amortizing 15 year principal & interest payment.

 

To help people better understand the inner-workings of the payment option arm, also known as the 1% home loan - we have authored an article on the topic with real life examples explaining both the positive and negative attributes of the loan.

 

 

To read the article click here: 

 

Please call us today for more information about this particular loan.

 

*Due to current market conditions, this loan program is no longer available.  Feel free to call for updates.