The Effects of Interest Rates on Mortgage Prepayments

Three main types of mortgages are fixed interest contracts which automatically fall due on the sale of a dwelling, fixed rate loans which are assumable by a buyer, and floating rate instruments. When interest rates rise, the fall in the economic value of these assets in savings and loan associations

三种主要类型的抵押贷款包括：房产出售时自动到期的固定利息合同、可由买方承接的固定利率贷款，以及浮动利率工具。当利率上升时，储蓄贷款协会中此类资产的经济价值将随之下降。