||Allow borrowers to pay interest and no principal in the loans early years
and help to keep monthly payments low.
|Option adjustable-rate mortgages
||Loans that have introductory rates as low as 1% and provide borrowers
with several payment options. However, borrowers that select the minimum
option could see a rise in their loan balance.
||A combination of a mortgage and home-equity loan or line of credit and
allows borrowers the option to finance more than 80% of the home's value
without paying for private mortgage insurance.
|No-documentation and low-documentation loans
||Loans that require little, if any, documentation of borrowers income or assets.