With mortgage
rates near their historic
lows, fixed
rate home mortgages are likely going to be a much better deal if you plan on living in the house for an extended period of time,
as when
rates reset on ARM loans the prior short - term savings will likely be more than offset by the higher
rates for the duration of the loan, which can cause the
interest - only loan payment to exceed the amoritizing 30 year fixed
rate payments if mortgage
rates spike high enough.