If you are distraught in deciding which mortgage is the mortgage for you, and you are looking to take advantage of the multiple benefits from varying mortgages, then hybrid mortgages may just be the best type of mortgage for you! Pegasus can offer a hybrid mortgage solution catered to you. This type of mortgage is a combination of a Fixed Rate Mortgage and an Adjustable Rate Mortgage. Our licensed Loan Officers are here to speak to you in order to help you understand and learn just how a Hybrid Mortgage can benefit you, and to help you get started on a mortgage application.

How Hybrid Mortgage Can Benefit You?

For the first few years of the mortgage loan, a fixed rate would be applied to the loan. Once the fixed rate period is over, an adjustable rate will be applied to your loan in place of the previous fixed rate. The adjustable rate can fluctuate higher or lower than your fixed rate according to market conditions.

If you have only heard of Fixed Rate Mortgage and Adjustable Rate Mortgage, then you may have question what are the benefits for Hybrid Mortgage.

Improvement of Credit score
You can make timely repayments during the time period of fixed rates. This will improve your credit score. You must also be prepared for possible increased rates in the future. If you are unable to make further repayments, then your credit score is affected negatively.

Potential Rate Drop
As rates fluctuate after some time, the rate may drop, allowing you to then benefit from low rates, therefore allowing you to save your money for future payments and interest.

Lower Rates in the Beginning
You are assured low rates in the beginning. This feature makes this mortgage quite attractive for borrowers. If adjustment rates continue to remain low, then this mortgage can turn out to be quite beneficial in terms of how much interest is paid over the term and the monthly installment is kept low. Starting and ending with low rates is a desirable situation for the borrowers.