Portable E Trade Mortgage
E trade offers an interesting type of home mortgage commonly referred to as the Portable E trade Mortgage.
In 2003 the online lending company E trade introduced an innovative new type of loan know as the portable E trade mortgage. How the portable E trade mortgage differed from a normal mortgage was that an E trade mortgage was attached to the lender rather than the property itself. This meant that you could lock in a low interest rate when the price of home loans were good and then move later in life when they weren’t necessarily so good and still benefit from the good mortgage rate that you locked in way back when.
Despite how innovative the concept of the portable E trade mortgage may seem, it’s not really all that original. In fact, portable home mortgages such as the E trade mortgage have been around for a while and are even commonplace in certain countries such as Ireland and Australia.
The portable E trade mortgage offers a perfect solution for many would-be home owners however it is not without its drawbacks. For one, the interest rates on an E trade mortgage are higher than those on a traditional home loan. Another important thing to be aware of is that you are only allowed to move once.
Additionally, there has been a little bit of controversy over the E trade mortgage and the portable home loan in general for the simple fact that real estate agents make their money every time a deal is made; less mortgages closing means potentially less commissions. Though E trade argues that the portable E trade mortgage will have no substantial effect on the real estate industry as their home loans are offered exclusively online.