Setting out to buy your first home can be one of the more exciting parts of adulthood. It’s often accompanied by feelings of great pride and responsibility. But sometimes, excitement can cloud the buyer’s judgment and good sense.  

First-time homebuyers may not have much experience in the real estate market yet, which means oversights can happen. 

This article has been updated from a previous version.

When it comes to selecting a mortgage, you're usually asked to choose between the certainty of a fixed-rate mortgage, which allows you to lock in a particular interest rate for your term, and the uncertainty of a variable-rate mortgage, which fluctuates alongside the Bank of Canada’s overnight interest rate. But did you know that there’s a third, lesser-known option that combines elements of both?