The interest on fixed-rate conventional loans stays the same throughout the loan period. In contrast, the interest on adjustable-rate conventional loans typically rises and/or falls with the national interest rate. Fixed-rate conventional loans are popular among borrowers who think the national interest rate will rise because it allows them to lock in a low rate. In contrast, adjustable-rate conventional loans are popular among borrowers interested in purchasing expensive properties because they come with low premiums early in the loan term.