Overview of Arkansas mortgages and mortgage rates
As mentioned above, Arkansas mortgages fall into one of three categories. Because of their stability, fixed-rate mortgages are considered the lowest risk. Neither the interest rate nor the monthly mortgage payment will change. Most borrowers choose a 30-year fixed mortgage, but some Arkansas lenders also offer terms of 15 and 20 years. Adjustable rate mortgages are attractive in the beginning. But once they adjust, monthly payments can skyrocket. As for second mortgages, you have the option of a line of credit with an adjustable rate, or a fixed rate home equity loan. Both will likely have a higher interest rate than you’d get with a first mortgage.
