Before the home buying and selling season begins this spring, it’s important to be armed and educated with all of the language terms and details, related to home buying and selling. We’ve put together a list of common mortgage terms and definitions you may encounter to help guide you through the process. Adjustable Rate Mortgage (ARM)–An Adjustable Rate Mortgage, or ARM, is just that – a mortgage based on a rate that can fluctuate over the life of the loan, based on the market rate. This can benefit the borrower if the rate decreases over the life of the loan; conversely, it can also impact your payment should the rate rise. Most ARM loans include a cap on how high the interest is permitted to rise for the best interest of the borrower. Fixed Rate Mortgage Loan–If a homebuyer wants a home loan product that will offer a consistent, steady payment over the life of the loan, then a Fixed Rate Mortgage Loan is the best option. Offering varying lengths of payback timeframes, a F ...