Home > How To Library > Real Estate > Financing > Adjustable Rate Mortgages

Adjustable Rate Mortgages
Print VersionBookmarkEmail this page to a friend.
Payments increase or decrease on a regular schedule with changes in interest rates; increases subject to limits. Types: Balloon Mortgage - Offers very low rates for an initial period of time (usually 5, 7, or 10 years); when time has elapsed, the balance is due or refinanced (though not automatically). Two-Step Mortgage - Interest rate adjusts only once and remains the same for the life of the loan; ARMS linked to a specific index or margin. Advantages: Generally offer lower initial interest rates; Monthly payments can be lower; May allow borrower to qualify for a larger loan amount.

Add To:
Del.icio.us
Digg
Google
Y! MyWeb
Reddit
Technorati

•
FenceCenter.com - Fencing

 •
Owens Corning - Basement Solution
•
Radiantec - Radiant Solar Heating

 •
Lumber Liquidators - Flooring
•
ZN Custom Building - Modular Homes

 •
Western Red Cedar Lumber Association - Real Cedar Building Materials
View all Showrooms


Related Articles Related Tips Related Videos
>  Considering a Condo Purchase
>  The Mortgage Crisis: How It May Affect You
>  Understanding Mortgage Points
>  Choosing a Loan Program
>  Choosing a Lender
>  203(k) Loan
>  The View from Island Avenue, Miami
> 
>  Touring Los Angeles Real Estate







 
About | FAQ | Contact | Sitemap | Privacy Policy | Terms of Use | Help
© BobVila.com 2008