Balloon Payment Mortgage The other term for a balloon payment mortgage is a partially amortized loan. Balloon payment mortgage is when your liability or obligation is only partially amortized, leaving the rest to be paid upon the completion of the term. Because the initial interest rates and monthly payments are lower, a balloon payment mortgage is paid off with one large payment at the end of the loan term. Take Over Mortgage A take over mortgage is a loan where the terms and conditions of the loan can be transferred from one borrower to a new borrower. The term take over mortgage is also used to refer to assumable loan. Home buyers can assume a seller's mortgage when purchasing a home with a take over mortgage payment. Variable Rate Mortgage by CanEquity Mortgage Canada The variable rate mortgage of CanEquity is based on a five year term. However, in this variable rate mortgage, only the first three years are closed, leaving years 4 and 5 open. This means that the 2 remainder years leave you absolutely free from any variable rate mortgage pre-payment penalty. When you apply for a loan, the first question every lender asks is: "How's your credit report?" If the answer is in any way viewed as negative, your application is rejected. With a bad credit mortgage loan though, that would never happen. Bad credit mortgage loans allow the borrower to get their loans even with a bad credit report. But to do so, they would have to provide a private mortgage insurance or PMI. If you want to avoid PMI, you can take an 80 20 mortgage loan. With an 80 20 mortgage loan, you get a "piggyback loan" or second mortgage loan that is used to back up the first mortgage. The first mortgage is comprised of 80 percent of the home's price. One disadvantage though is that 15-year fixed rate home mortgages have higher monthly payments and higher interest rates. Adjustable Rate Home Mortgage Contrary to a fixed rate home mortgage, an adjustable rate home mortgage is a home mortgage where the rates are adjusted regularly, usually after the first year is over.