Being aware of the types of loans available to purchase Northeast Fl  real estate  will allow you to find the one that caters to your needs best.  A 5/5 and 5/2 adjustable rate mortgage has an interest rate and monthly payment that stays the same for 5 years. After that, the interest rate is adjusted every 5 years or 1 year. This loan works well for those planning to live in the same home for 5 years, desire the initial payment stability, can accept changes later, or plan to move in 5 years with a loan to back them just in case. A five year balloon mortgage works best for those with plans to stay in the house for more than 5 years. They must be willing to refinance at current market rates or have plans to move within 5 years. The interest rate and monthly payment stays the same for 5 years. After five years, the loan is to be paid in full. The buyer must refinance into a new loan at this time. A 5/25 loan consists of an interest rate and monthly payment that is steady for 5 years. During the 6^th year, the interest rate is adjusted, with a constant payment from there forth. This loan is good for those intending to stay in a house for more than 5 years, can handle one payment adjustment, or plan to move in 5 years. Finally, a 3/3 and 3/1 year adjustable rate mortgages are available. These are good if you plan to stay in the house for more than 3 years, need initial payment stability, can accept changes, or plan to move within 3 years. This type of loan has an interest rate and monthly payment constant for 3 years. After that, the rate is adjusted every 3 years or every year.