“Will my mortgage loan have a prepayment penalty?”
Currently, most conforming loans and most agency loans up to about $625,000 will not have prepayment penalties. After the 2008 recession and housing crisis, these prepayment penalties have largely gone away.
Previously, negative amortization loans and adjustable-rate mortgages especially would frequently contain prepayment penalties, however, those have largely gone away with these loan products as well as others.
While most loan products do not currently contain prepayment penalties, you should always be sure to check the terms of your particular loan to verify whether or not there are any prepayment penalties.
At Sean La Rue home loans, we are happy to answer any and all questions you have regarding the mortgage lending process. Feel free to contact us by phone, email, or our contact form and we would be happy to assist you.