Mortgages - the loans granted to people to purchase a landed property, that are secured by the property -  are generally secured from either commercial banks or Mortgage Banking Company; and there  are very many of each of these two sources. Hence there is the need for a borrower, or potential homebuyer to be able to decide between any two Mortgage products of any two sources of mortgage providers. All potential homebuyers or loan borrowers therefore should become knowledgeable of the packaging of mortgage products in order to make informed decision when comparing mortgages.; and a borrower should not necessarily rely on a Loan Officer or Mortgage Originator to simply determine a loan type for the borrower.

The reality is that the object of any Loan Officer is to get a borrower to get a mortgage and get a commission for the service; and because the Mortgage Originator is paid on commission, the interest of the borrower is rarely of foremost consideration.  So a level of aggressive sales is often in character on the part of the Originator even if at the expense of the borrower. Further because conversance with the rationales  for suggesting a particular mortgage to a specific customer requires indepth familiarity with the products and because the products change so very often, the originator has not time or does not take the time to learn these rationales as to make customer-oriented sale or solution provider. In effect, very often mortgage originators are not familiar with this concept and therefore are not very effective at differentiating between similar products  from different banks as to offer a loan applicant an efficacious.

Mortgage Products Offered
There are several types of mortgage products and with different characteristics. Each mortgage product effectively constitutes a mortgage class. Effectively, a bank may offer a mortgage product of a particular class but with an entirely different characteristics from one of the same class offered by another bank.

However, a better appreciation of these mortgages and their differing characteristics is gained with

Basic Mortgage Products
In any event, the most common classes of mortgages include Fixed Rate Mortgage, Adjustable Rate Mortgage, and Balloon Mortgage, Graduated Payment Mortgage, etc. The Fixed Rate Mortgage is defined with a fixed rate through the life of the mortgage, and such rate are usually set at Prime rate + percent. The adjustable rate is defined as having variable rate through the set-time of payment for the loan, which is the case when a fixed rate is set for a term period and then adjusted after the term; however during the term rate increases are still captured and the difference between what is paid and what ought to have been paid is rolled back into the principal. The Balloon Mortgage is defined by a fixed rate payment over a set term period after which the purchaser refinances the property.

 different from business to business. Each of these types of mortgages has its peculiarities, advantages and disadvantages.

Mortgages Augmentation
These products are then further fleshed out with such features as

• required minimum down-payment
• interest on loan set and basis
• seller finance allowed
• guarantee services such as HUD, mortgage insurance
• point payments
• late payment reporting period

These feature not often compared are the several methods by which these mortgages are differentiated between banks and between mortgage bankers. Besides different rationale support the suggestion of one mortgage class product to borrowers over a product of another class. The offer of a product on terms that violate the efficacious use of a particular class of product often leads to difficulties with the borrower