Getting a mortgage is likely one of the most important financial decisions you will ever make. Getting the right mortgage for you and your situation takes planning and some research, but it’s well worth the effort because choosing the best option can save you thousands of dollars while your mortgage is active. We’re going to look at the difference between open and closed mortgages, and a couple of their more popular variations.
There are open mortgages, closed mortgages, variable rate mortgages, and fixed rate mortgages. They each serve a great purpose, so let’s start by understanding open vs. closed mortgages. We’ll define and explain them all in this mortgage guide.