Adjustable Rate Mortgage
Enjoy lower payments with an ARM loan
An adjustable-rate mortgage (ARM) is a home loan carrying an interest rate that adjusts after a fixed period to a rate tied to a public financial index. ARM's typically deliver lower rates, because they transfer part of the risk of rates going up or down from the lender to the borrower. This means borrowers benefit when the interest rate falls. ARM's are a popular choice when an unpredictable market makes it difficult to predict whether fixed rate loans will rise or fall.
Although somewhat riskier than a fixed rate mortgage, the lower initial payments of an ARM can provide a quick financial boost and may be beneficial in certain circumstances. A low initial fixed rate help you save money through the initial lower payments, but remember that once your ARM’s fixed period ends, the rate will adjust, and can result in a higher rate. If considering an ARM, you should discuss your financial situation with an experienced Wyndham loan officer in order to make the best decision for you and your family.
An adjustable-rate mortgage (ARM) is a home loan carrying an interest rate that adjusts after a fixed period to a rate tied to a public financial index. ARM's typically deliver lower rates, because they transfer part of the risk of rates going up or down from the lender to the borrower. This means borrowers benefit when the interest rate falls. ARM's are a popular choice when an unpredictable market makes it difficult to predict whether fixed rate loans will rise or fall.
Although somewhat riskier than a fixed rate mortgage, the lower initial payments of an ARM can provide a quick financial boost and may be beneficial in certain circumstances. A low initial fixed rate help you save money through the initial lower payments, but remember that once your ARM’s fixed period ends, the rate will adjust, and can result in a higher rate. If considering an ARM, you should discuss your financial situation with an experienced Wyndham loan officer in order to make the best decision for you and your family.
