When you’re looking to purchase a new home, you probably first think of securing an affordable monthly payment. Buyers have several options when it comes to structuring a mortgage loan and, in recent years, many have chosen adjustable rate mortgages (ARM) to keep their
It’s important to recognize that different types of ARMs exist. Interest rates for each type typically track the performance of a specific financial index, such as the Cost of Funds Index (COFI), London Interbank Offered Rate (LIBOR), and Treasury Index (CMT). Still, the mechanics of an ARM will always be the same, with an appealing low introductory rate for a set period of time, a scheduled date when the rate may adjust for the first time (increase or decrease), and
The VA received federal authority to back ARMs in 2012. The basics of these loans remain the same as other conforming
The Future of Interest Rates
As we near the end of 2018 with a strong economy, economists expect the US Federal Reserve to continue increasing the federal funds
Ask AAFMAA About Fixed Rate Mortgages
There’s no doubt that traditional,
If you currently have an ARM, now might be a good time for a complimentary mortgage review. Call AAFMAA Mortgage Services LLC today at (844)-422-3622, or email us at email@example.com to schedule a time to review your current mortgage. We’ll discuss how the rate caps, index, and margin affect your loan and compare how your ARM may behave in the future against a fixed rate mortgage.
With AAFMAA, you can breathe easy — our focus is always on doing what is right and best for our Members.
Originally from the Washington, D.C. metropolitan area, Pat Watts relocated to North Carolina in August 2016. She has worked in financial services since 1997 and residential financing since