A lot of people say that a flexible rate mortgage is one of the riskiest options that a borrower can choose.
With this type of mortgage, you have the ability to make an overpayment, an underpayment or even take 'vacations' from paying your mortgage's monthly fees.
A lot of websites and mortgage lenders recommend to pay off your loan earlier than the allotted time by making over payments.
Here, you will be shelling out an amount which is greater than the pre-agreed monthly premium.
You just need to know which option will best suit you, and you need to be aware of the consequences of each financial decision that you will make.
Making your loan an Advantage:

• Be aware of the prime rate.
  If the prime rate is trending upward, then you may need to lock in your rates or refinance to a fixed rate mortgage so that the fees will not skyrocket.
  
• Always read the fine print before getting into an agreement.
  Just like with any contract, you need to always be aware of the details about the terms and conditions written in fine print.
  This is one mistake that a lot of people make, so be sure that you understand everything - like how much the remaining mortgage principal will amount to if you make either an overpayment or an underpayment, and other pertinent details.
  
• If the flexibility options or the conditions sound really complicated, then it probably is.
  Flexible rate mortgages can save you a significant amount of interest, but they may also lead to a financial crisis if not handled properly.
  Thus, you need to know exactly what you are getting into before agreeing to a flexible rate mortgage.
  

How do I find the best deal? Print, television and radio advertisements are some of the mediums by which you can get a hold of a contact person when choosing flexible rate mortgages.
Make sure that the financial establishment is reputable before entering any agreement.
This will also give you an idea of the status of the real estate/mortgage market in your area.
Mortgage brokers or referrals from friends and family are other ways to shop for flexible rate mortgages.
A local broker in your area would know the ins and outs of the real estate business, and they would have the necessary skill and experience in looking for the best flexible rate mortgage that will best suit your financial needs.
Word of mouth is also a good source of referral, so you can ask your friends and relatives if they know of a reputable firm who can give you a good flexible rate mortgage option.
What risks should I be aware of? When shopping online for flexible rate mortgages, be aware of all the terms and conditions and read the 'small' print, which is like the fine print when the contract is printed on paper.
There may be conditions about the flexible rate mortgages that you are not aware of, just like with any other online promos, so it helps to be aware of these things in advance.