Be careful if choosing a mortgage based only on its stated annual percentage rate (APR), because there are a variety of other important variables to consider, such as:

The term of the mortgage -- This is connected with the amount of time it will take you to pay off the loan's principal and interest

The variability of the interest rate – We have got two basic types of mortgages: the ones with "fixed" (i.e., unchanging) interest rates and those with variable rates, which can change after a predetermined amount of time has passed, such as one year or five years

Points – These are fees that you pay to a lender or broker when you close the deal