An ARM is a mortgage with an interest rate that may vary over the term of the loan -- usually in response to changes in the LIBOR rate or Treasury Bill rate. The purpose of the interest rate adjustment is primarily to bring the interest rate on the mortgage in line with market rates.

Mortgage holders are protected by a ceiling, or maximum interest rate, which can be reset annually. ARMs typically begin with more attractive rates than fixed rate mortgages -- compensating the borrower for the risk of future interest rate fluctuations.

An adjustable rate loan can be an advantage to you as a borrower.  Depending on key issues of the loan program, your overall financial plan, and current interest rates, an adjustable rate loan can be the right fit for you.

Our consultation can help determine the right program for you.  Some of the key features of our adjustable rate programs:

• Life Caps to the interest  rate
• Low initial start rates
• Fixed interest rate periods before initial interest rate adjusts
• Interest only features
• No Negative Amortization or Interest Carry