The mortgage market is much more diverse than some borrowers think.
Besides the standard fixed-rate and adjustable-rate mortgages, there are other types of mortgages and ways to finance a home.
Pro: Opportunity to buy larger, more expensive home.
Con: Pay a higher interest rate in exchange for the lender's higher risk.
Pro: Opportunity for damaged-credit borrowers to buy homes and to establish better credit.
Con: If your credit does not improve, you could be stuck in a high-rate loan for much longer than two or three years.
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According to the Supreme Court, you can rescind, or cancel, the mortgage any time within three years. All you have to do is send a letter to the lender.
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