The 3 paycheck months are the monthly installments that we pay to our mortgage lender for the first two years of our home’s purchase. After that, the interest rate we pay will be adjusted to a better rate, and the principle is adjusted to a new lower amount, and so on.
You can read the article about the 3 paycheck months and see what I mean by that. As a more advanced reader, I’d suggest looking into the title, which makes it seem like the 3 paycheck months are actually the monthly installments you pay to your mortgage lender. But this is just a bit of a heads-up. We’ll be back with a better look at what you need to do.
The 3 paycheck months is a complicated concept and one that we’re still working on. The interest rate we pay for the new $50,000 mortgage will be adjusted to a better rate, which in turn will mean the principle is adjusted to a new lower amount. The principle has to be adjusted, since the amount you pay for the loan can change over time. The interest rate, on the other hand, will most likely be the same, because we’re still paying the same interest rate.