adjustable rate mortgage

Adjustable Rate Mortgage Services

Searching for the perfect house to call your dream home is time consuming. It’s hard to think about anything else as you travel down the path toward homeownership.

Georgetown Mortgage home loan program offers a range of options that fit your unique situation, current lifestyle, and future dreams.

If you’re concerned about adjustable-rate mortgages and whether you fit the criteria, rest assured, you need not worry with Georgetown Mortgage on your team.

Knowledgeable Georgetown Mortgage loan officers can help you explore and choose the best mortgage option for your situation and calculate your rate and monthly payment terms.

Adjustable-rate mortgage

The adjustable-rate mortgage (ARM) is a home loan with an interest rate that is fixed for a set amount of time, then resets and adjusts up or down periodically, per the terms of the loan.

Georgetown Mortgage offers four main ARM loan options: minimum, fully amortized 15-year, and fully amortized 30-year. The option chosen and the math and economics behind it determine your monthly payment. Your ARM interest rate will adjust ever six to 12 months, depending on your unique loan agreement.

ARMs come with interest rate floors (lowest interest rate you can pay) and ceilings (highest or maximum rate you can pay), which are commonly referred to as ‘caps’. ARM caps protect both you and your lender. The floor protects lenders from losing money on loans if the index decreases dramatically. The ceiling marks the highest possible rate that the borrower can pay on a mortgage, which protects you from paying an outrageous rate if the index suddenly climbs.

When an ARM Makes Sense to You

Adjustable-rate mortgages benefit the borrower at times when the interest rate is higher than in previous years and deemed likely to drop to a more affordable level in the near future. However, if rates are already low, you may want to consider a fixed-rate mortgage as your first option.

Adjustable-rate mortgages typically start out at a lower rate percentage than a fixed-rate mortgage. If you retire or pay off your mortgage quickly, the adjustable rate might not have time to shift up.

ARMs are great options if your job requires you to move frequently or if you plan to sell your house within a few years of purchase, rather than keeping it forever.

Georgetown Mortgage hears your concerns.
Your Georgetown Mortgage loan officer will help you find the adjustable-rate mortgage that best fits your situation, now and in the future.

At Georgetown Mortgage, you get one mortgage originator, one lender relationship, because we don’t believe in your having to re-explain your situation on every call.

When you’ve found the home of your dreams, turn to Georgetown Mortgage for the loan that makes your dream come true.