In terms of interest rates, mortgages can be categorized into two kinds – variable rate mortgages and fixed rate mortgages. Variable rate mortgages (also known as adjustable or floating rate mortgages) are those with an interest rate that changes according to market conditions and the lender’s discretion. With fixed rate mortgages, the interest rate stays constant throughout the tenure of the loan, irrespective of any ups and downs in the economy. [Read more…]