What’s the Difference Between Fixed-Rate and Adjustable-Rate Mortgages?

When choosing a mortgage, one of the most important decisions you’ll make is: Should I choose a fixed-rate mortgage or an adjustable-rate mortgage (ARM)? Fixed-rate mortgage: Interest rate stays the same. Payment stays the same. Adjustable-rate mortgage (ARM): Starts fixed. Later adjusts periodically. Common fixed terms: 30-year, 20-year, 15-year fixed. When Fixed-Rate Makes Sense: Planning to stay long-term, tight budget, risk-averse. When ARM Makes Sense: Short-term ownership, expect refinance, comfortable with risk. About Anthony Anselmo: Top-producing Realtor with Abundance Real Estate, specializing in Temecula, Murrieta, Menifee, Winchester, Meadowview, De Luz, and Temecula Wine Country.