I am pleased to announce that after several years, adjustable rates are back. In 2024, I finally have an Adjustable Rate Mortgage (ARM) that is worth considering.

Adjustable Rates

This program has a 10/1, 7/1, and 5/5 option. For those unfamiliar with ARMs, the first number is the fixed rate period and the second is the adjustment segment. For example, the 5/5 ARM is fixed for the first 5 years and then adjusts every 5 years for the remaining 25 years of the loan. The 10/1 ARM is fixed for 10 years and then adjusts yearly for the remaining 20 years of the loan. None of the loans have balloon payments or prepayment penalties, and there are caps that protect you when the loan adjusts.

How to Qualify

This program is only for loans over $766,550 and can be used for properties in DC, MD, and VA.

The rates for these ARMs tend to be .75% to 1% lower than the fixed rates. On a mortgage over $766,550 that can be a big savings. If you share many economists’ prediction that interest rates with start coming down in 2025, then maybe an adjustable rate mortgage is a good option. Take the savings now and then refinance once rates have come down.

Please contact me to learn more.