Welcome to Blair Realty, the premier resource for all real estate information and service in the Highlands-Cashiers, NC area. Blair Realty was established in Highlands in 1980 and located on Main Street for many years. Please enjoy your visit and explore everything our website has to offer, including all listings in the Highlands-Cashiers Multiple Listing Service,information for buyers & sellers,community information, and more. We look forward to assisting your real estate needs. Visit as often as you like, and contact us for information on any listings in this area. Representing all properties in the Highlands & Cashiers Area.
BLAIR REALTY Est.1980 Wildcat Cliffs Country Club Information Center since1989
Now that you know what an ARM is and how it works, you may be wondering what the advantages and disadvantages are. So let’s explore that issue.
Offering adjustable rates allows lenders to transfer part of the interest rate risk from themselves to the borrower. If you get a fixed rate mortgage and the interest rate then goes up, it costs the lender money. However, if you have an adjustable rate mortgage, as the interest rate goes up, so does your payment, thus compensating the lender. Adjustable rate mortgages are particularly useful when unpredictable interest rates make fixed rate loans hard to get.
One of the main advantages of an adjustable rate mortgage is that the initial interest rate is lower than that of a fixed rate mortgage. A lower rate means lower payments, which may help you qualify for a larger loan. This is an important detail if you expect your future earnings to rise. In this case, the ARM will allow you to qualify for a larger loan amount earlier rather than later.
However, this information should only be used with care. If you use an ARM to qualify for a larger loan amount than a fixed rate would allow you and the interest rate then rises drastically or your income doesn’t rise, you may not be able to afford the larger monthly payments, thus causing you to default on your loan.
A situation in which an adjustable rate mortgage makes sense would be if you are only going to keep the house for a short period of time. If you are only planning to own your house for only a few years, the risk of the interest rate rising goes down. This means that you will get a better rate with an ARM, making it a good choice. However, if you plan on staying in your home for a long period of time, a fixed rate may be a better option.
The lesson here is to have a plan. Know what your goals are in purchasing a home and plan for all eventualities. Do your research when shopping for an ARM and consider the worst-case scenario.
I was impressed with Margaret & Blair from the moment we met. Their office is beautiful and very unique! Their knowledge of the area was terrific. As a native of Atlanta, I was familiar with the Highlands area, but no expert. They listened to me and helped me determine what was most important in my home selection.They directed me to properties that were right for our family rather than trying to sell me something in a specific club or one of their own listings. I felt like they were working in my best interest. I recommend them to anyone exploring the area. bbjclemsonfan
Great experience. They were very helpful from showing properties through the closing. Recommend them highly to anyone interested in property. They understand what you are looking for and do not waste your time showing you things that they know will not work for you. Susan & John Wiener