It’s now estimated that mortgage payments these days account for 40% of monthly household expenses. For example, in the United States, the average mortgage has zoomed up to well over $120,000 (and much more in popular cities such as New York or Chicago).

  There is no doubt that your Mortgage will be one of the most serious commitments you will ever make in your life – and with the huge range of mortgage types available these days it’s worth understanding what mortgage type may be right for you. This could save you tens of thousands of dollars and more over the term of your mortgage payment.

Home buying is a major step. The last thing that you want to do is rush into such a mortgage option that may be completely wrong for you. Someone who is not informed about the current trends and latest information is opening themselves up to major problems.

For example, not all mortgage companies are moral in the way they do business.  Known as predatory lenders, the bad ones will seek to get you into a home and sign the papers without any thought as to whether the mortgage deal they’ve given you is actually a good fit for your needs. For example, here are a few factors that you should consider when finding out which mortgage would be the best choice for you:

·        Interest rate

·        Type of mortgage (fixed? variable? offset?)

·        Fees/penalties

·        Lending flexibility

Mortgage providers vary significantly in this regard, and you really need to make sure you do some solid research to find your best option.