Fixed Rate Mortgage…what is it?

A loan in which the interest rate  does not change  during the entire term of the loan.  For an individual taking out a loan when rates  are low, the fixed  rate loan would allow him or her to “lock in” the low rates and not be  concerned with fluctuations. On the other hand,  if interest  rates were historically high at the time of the loan, he or she would benefit from a floating  rate loan, because as the prime  rate fell to historically normal levels,  the rate on the loan  would decrease.  opposite of adjustable  rate.