The Adjustable Rate Mortgage is a “hybrid” product that starts at a fixed rate for a set period. After this period expires, the interest rate will change at predetermined intervals over the life of the loan.
What is an Adjustable Rate Mortgage?
Did You Know?
Adjustable rate loans have the lowest interest rates in the first 5 years.
This results in your payments changing periodically (usually once or twice a year) based on the economic index it’s linked to. It’s popular with first-time home buyers because the initial rates are generally lower than they are in the case of Fixed Rate Mortgages.
Adjustable Rate Mortgage is for you if:
– You’re looking for a flexible loan with the lowest initial rates and down payment.
– You’re planning to sell your home or refinance before the end of the initial rate period.
– You believe that mortgage interest rates may decrease in the future – but, at the same time, can accept the risk if they don’t.
Loan Features:
– You’re looking for a flexible loan with the lowest initial rates and down payment.
– You’re planning to sell your home or refinance before the end of the initial rate period.
– You believe that mortgage interest rates may decrease in the future – but, at the same time, can accept the risk if they don’t.
If you’re thinking about applying for an Adjustable Rate Mortgage, our experts are more than willing to help you.
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