This is the most common type of home loan. You can choose a term up to 30 years with most lenders. Most of the early repayments pay off the interest, while most of the later payments pay off the principal (the initial amount you borrowed).

You can take a table loan with a fixed rate of interest or a floating rate. Application fees for table loans range from nothing to over $1,000. Most lenders charge around $200 to $400. This is often negotiable.

Advantages

• Table loans provide the discipline of regular payments and a set date when they will be paid off.
• They offer the certainty of knowing what your payments will be, unless you have a floating rate, in which case repayment amounts can change.

Disadvantages

• Fixed regular payments might be difficult for people with irregular income.