Consumers typically look at one mortgage type and then the next, picking the best option based mostly on affordability.
But getting the best mortgage deal is about more than payment size. The Federal Reserve Board has created an online "mortgage comparison calculator" that allows consumers to compare monthly mortgage payments and the amount of equity they build with different types of fixed- and adjustable-rate mortgages.
The calculator is accessible at http://www. federalreserve.gov/apps/mortcalc. It allows home buyers to compare types of mortgages — seven types of adjustables, and several styles of fixed-rate loans — to determine which deal is best.
Financial Housekeeping