Finance
Which of the following is an advantage of a fixed-rate mortgage for a Mississippi homebuyer?
ALower initial payment than an ARM
BPayment certainty—the principal and interest payment never changes throughout the loan term✓ Correct
CThe ability to pay less when interest rates fall
DAutomatic refinancing when rates drop
Explanation
The primary advantage of a fixed-rate mortgage is payment certainty. The principal and interest payment remains constant for the life of the loan, making budgeting predictable regardless of market interest rate movements.
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