Adjustable Rate Mortgage (ARM) and they come in different flavors. For example: 10/1 Adjustable Rate Mortgage (ARM) This type of loan is similar to the 3/1 ARM except for the fact that the interest rate remains fixed for the first 120 months (ten years) as opposed to the first 36 months. After that time the interest rate (and, therefore, the monthly payments) may change every 12 months (one year). As with a 3/1 ARM, 5/1 ARM and 7/1 ARM, the index is typically the One Year Treasury Security index, the margin is typically 2.50% - 3.00%, the adjustment cap is typically 2% and the lifetime cap is typically 6%.
Adjustable Rate Mortgage. Your interest rate changes based on certain indices depending on the lender.
Adjustable Rate Mortgage
Adjustable Rate Mortgage (ARM) and they come in different flavors. For example: 10/1 Adjustable Rate Mortgage (ARM) This type of loan is similar to the 3/1 ARM except for the fact that the interest rate remains fixed for the first 120 months (ten years) as opposed to the first 36 months. After that time the interest rate (and, therefore, the monthly payments) may change every 12 months (one year). As with a 3/1 ARM, 5/1 ARM and 7/1 ARM, the index is typically the One Year Treasury Security index, the margin is typically 2.50% - 3.00%, the adjustment cap is typically 2% and the lifetime cap is typically 6%.
Eric & Rosa
[addsig]
Half of the cost of a property that costs an ARM and a LEG