Borrowers can choose between adjustable and fixed-rate mortgages to manage interest rate risk. High-risk aversion, non-amortizing mortgages, large loans, and low chances of moving benefit from long-term contracts. Amortizing mortgages are best split into shorter contracts as they age, especially if interest rates are expected to drop. For non-amortizing mortgages, a fixed-rate mortgage is better unless rates are predicted to decrease significantly.