Adjustable Rate Mortgage Loans

Pros – Your monthly payment should be lower vs a conventional if you plan to stay in the home for less than 7 years

Cons – The rate may adjust either annually or every six months (although typically there is a lifetime cap on the rate) making budgeting a bit dynamic.

Most Adjustable rate mortgage products offer a low introductory rate that is fixed from 1 to 10 years and then the remaining life of the loan adjusts either annually or every six months. Our ARM programs come with a lifetime cap on the rate.

This means that your rate will never go higher than a certain amount even if the rates skyrocket.

There is a ceiling on how much you can possibly pay.