Which of the following is often a feature of balloon mortgages?

A balloon mortgage is characterized by a large final payment that is due at the end of a specified term. This structure allows borrowers to make smaller monthly payments during the loan's term, but it culminates in a significant payment of the remaining balance when the term ends. This can be advantageous for borrowers who anticipate that they will either sell the property or refinance before the balloon payment comes due, as it allows for lower monthly financial commitments in the interim.

In contrast, consistently high monthly payments are typically associated with fixed-rate mortgages where the borrower pays down both interest and principal over time. The absence of principal payments throughout the loan term is not a feature of balloon mortgages, as borrowers generally do make regular payments, albeit primarily interest. Lastly, while some balloon mortgages may have variable interest rates, others have fixed rates, making variable interest rates not a defining feature of this mortgage type.