Balloon Amortization Sureties With Interest Rates In Chicago
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State:
Multi-State
City:
Chicago
Control #:
US-00425BG
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A Balloon Note is a Promissory Note that has one large payment (the balloon payment) that is due upon maturity. A balloon note will often have the advantage of a very low interest rate, thus requiring little capital outlay during the life of the loan. The major problem with such a loan is that the borrower needs to be self-disciplined in preparing for the large balloon payment due when the loan matures. Of course refinancing the note upon maturity is always a possibility.
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Balloon mortgages generally have lower interest rates. A balloon payment is a large payment due at the end of a mortgage.Balloon mortgages usually have terms ranging between five and seven years and lower interest rates than traditional fixed-rate mortgages. This tool figures a loan's monthly and balloon payments, based on the amount borrowed, the loan term and the annual interest rate. A balloon loan is usually rather short, with a term of three to five years, but the payment is based on a term of up to 15 years. Balloon Mortgages typically offer lower interest rates and payments, but they may be too risky for some homebuyers. Call Scott D. Rogoff at . A balloon mortgage has an interest rate that is fixed for an initial amount of time. At the end of the term, the remaining principal balance is due.