Is An Open Mortgage Right For Me?
An open mortgage offers maximum flexibility when it comes to paying off your mortgage. You have the freedom to make lump sum payments or pay off your entire mortgage before the term expires, without incurring any penalty. However, this flexibility comes with a higher interest rate, which will result in higher monthly payments.
For those who are looking to pay off their mortgage as soon as possible, an open mortgage may be the best option. Having the freedom to make lump sum payments or pay off the entire mortgage ahead of schedule can help you save money in the long run. On the other hand, the higher interest rate associated with an open mortgage may be a deterrent for some.
Ultimately, choosing the right mortgage type comes down to personal preference. If you opt for an open mortgage, it is important to make sure you can comfortably afford the payments and correctly assess your ability to pay off the mortgage early. To help you make the best decision, contact us at any time for a free consultation.