What is an adjustable rate mortgage?

An adjustable-rate mortgage (ARM), also called a variable-rate mortgage, is a home loan with an interest rate that adjusts over time based on the market. ARMs typically have a lower initial interest rate than fixed-rate mortgages, so an ARM is a great option if your goal is to get the lowest possible mortgage rate starting out.

Should you use an adjustable-rate mortgage calculator?

An adjustable-rate mortgage or ARM mortgage calculator could be a smart choice for those borrowers who are planning to repay the borrowing within a specific period or those who shall not be hurt financially when there is an adjustment in interest rate. This has been a guide to the adjustable-rate mortgage calculator.

What is an adjustable rate mortgage (ARM)?

An adjustable-rate mortgage (ARM) is a home loan that starts out with a fixed interest rate, but after a period of time that rate becomes variable. They are also called variable-rate mortgages or floating mortgages. Check out today’s mortgage rates. Interest rates vary depending on the type of mortgage you choose.

Are adjustable-rate mortgages a good option?

Adjustable-rate mortgages can provide attractive interest rates, but your payment is not fixed. This adjustable-rate mortgage calculator helps you to approximate your possible adjustable mortgage payments.