Adjustable Rate Mortgage

Ross Mortgage offers a variety of loan options, including an Adjustable Rate Mortgage (ARM)

An Adjustable Rate Mortgage offers numerous potential benefits. The interest rate charged at the outset is typically lower than the rate associated with a fixed rate mortgage. As a result, the monthly payment is less. However, the interest rate on an adjustable rate mortgage changes periodically based on differences in various market indices, causing your payments to change as well. If rates go up, so do your payments. If they go down, your payments will too.

With an adjustable rate mortgage, homebuyers may be able to obtain a larger mortgage amount than they would with a fixed rate mortgage, but the potential for higher payments in the future requires careful budgeting.

Individuals who plan on selling their home within the next 3 to 5 or those who may not qualify for a fixed rate mortgage could be good candidates for an adjustable rate mortgage.

As you can see, there are numerous factors to consider and it’s important to understand them all before you make a decision. Contact a Ross Mortgage representative for more information.