Adjustable Rate Mortgages
With an Adjustable Rate Mortgage (ARM), your initial interest rate is set for 5, 7, 10, or 15 years. After that time your rate could increase or decrease. ARMs usually offer a lower beginning rate compared to a traditional fixed rate mortgage.
Consider an adjustable rate mortgage if:
- You plan to be in your home less than 15 years
- You think rates will remain steady or decline during the initial term of the loan
- You desire a lower monthly payment and are comfortable with a variable rate
What the numbers mean:
- The first figure refers to the initial number of years your interest rate will stay the same, or is locked.
- The second figure is the adjustment period. This shows how often the rate can change (up or down) annually, after the initial period has ended.
Apply for an Adjustable Rate Mortgage
To speak to a Mortgage Specialist, call 877-628-5626 or email us today.