Adjustable Rate Loans

An Adjustable Rate Loan offers a lower initial interest rate and payment so borrowers can generally quality for a higher loan amount. This rate and payment, however, can go up if economic influences increase interest rates.

Adjustable Rate Loans come with 1 Year, 3 Year, and 5 Year initial terms. This means your initial rate is locked for 1, 3, or 5 years then adjusts semi-annually thereafter.

Adjustable Rate Loans come with your choice of loan terms up to 30 years. They can be made with loan to values up to 100%. Private mortgage insurance is required for loans exceeding 80% loan to value. Loans over $417,000 are considered jumbo loans and the interest rate would be 1/2% higher than our stated rates. Interest is paid on escrow on owner occupied primary residence.

Adjustable Rate Loans should be considered if you:

• Need to keep you initial payment as low as possible
• Believe your income will increase significantly
• Believe interest rates will stay the same or go down
• Plan on moving to another home within 5 to 7 years

Adjustable Rate Loans can be used to:

• Finance the purchase of a new home
• Refinance an existing home
• Finance the construction of a new home
• Finance major or minor home improvements

Call or e-mail one of our Loan Officers for more information.

Check out our Interest Rates for current rates on our mortgage loans.