The above rate is based off of the following assumptions for your Conventional ARM Loan:
- Credit score 740 or higher
- LTV 95% (5% down payment)
- Loan amount up to $484,350
- $850 origination fee, $6.70 flood certification fee and $72 tax service fee. Additional closing costs apply
Please note that if your credit score, down-payment or loan amount is different than the above assumptions, your rate could be higher or lower. Subject to credit approval. Rates, terms and conditions effective 02/24/20 are for sample purposes only and subject to change. Please contact your Mortgage Loan Officer for specific, customized pricing for your financial situation.
On a $230,000, 5/1 ARM amortized over 30 years with an initial interest rate of 3.250% with an annual percentage rate of 3.927%, after fixed-period of 5 years the rate may increase annually; individual adjustments are capped at 2% first, 2% subsequent and rate can never increase by more than the lifetime cap of 5%. A payment example would be as follows based on a fully-capped interest rate of the loan: Years 1-5 at 3.250% rate with a payment of $1,000.97, Year 6 at 5.250% rate with a payment of $1,230.89, Year 7 at 7.250% rate with a payment of $1,476.90 and Years 8-20 at 8.250% rate with a payment of $1,603.92. The monthly payment may change when the interest rate on an adjustable rate mortgage is reset. After the initial fixed-rate period, your interest rate can increase annually according to the market index. Current index (LIBOR 12 month) as of Oct 22, 2019 is 1.967%. The current index plus Margin rounded to the nearest 0.125 is 4.250%. Any change may significantly impact your monthly payment. Rate payment example does not include costs of mortgage insurance and taxes; therefore, the actual payment obligation will be higher.