5 Year Morgage: This is the most common type of Adjustable Rate Loan. The reason is that many
people believe it offers the best combination of 'fixed rate security' and 'Adjustable Rate savings'.
This is because the rate is noticeably less than that of the 30 year fixed rate and the loan itself
still has an initial '5 year fixed rate' period. Many people feel 5 years is a sufficient amount of
time to foresee any economic changes that may come to pass when the fixed rate period is over.
So this loan has an interest rate and monthly payment that stays the same for the first 60 months
of the loan. After that initial period the rate and payment can change depending on the Index it is
based on. Depending on the Index used the changes can be monthly, annually or every 6 months. Make
sure your loan officer asks which type of payment plan best suits you. For a quote on a 5 yr Morgage
program simply give us a call at the number on this page.
5 Year Morgage ARM - Lower Your Payments With A 5 YR ARM...
