Variable rate mortgage
Variable rate mortgage ahs one more name which is an adjustable rate mortgage. As the name suggest, a variable rate mortgage is the one in which the rate is adjustable and not fixed. Whenever the market is at its peak the interest rate of the loan increases and whenever there is a downfall in the economy, the rate decreases. Along with the rate, the installment amount also gets changed. And not just this, it has been seen that at times the tenure of the loan also gets affected with a change in the interest rate and installment amount of the loan.