QUICK SEARCH OF REAL TIME MLS LISTINGS HERE!
You have come to the right place if you are looking to buy or sell a home in the Midlands area. I am here to offer my expertise and am committed to making your experience exceptional. There are many tools here to assist you which range from assisting you in your home search to deciding where to go for dinner! Explore the site and links. If you can’t find it here, call or email me and I’ll be happy to assist in answering your questions.
SELLERS
Look at your competition! I will share my knowledge and experience with you. I am realistic and committed to making the process as seamless as possible. I believe in keeping you informed on activity, my unique marketing strategies and current trends in our local real estate market. As a team, we will get to the closing table!
BUYERS
Start your search here! I value your time and opinions and I hope that you will make the most of my expertise. I am ready to listen to your needs and learn what features you most desire. With this information, I’ll do my homework so that you don’t have to. My goal is to find your home and make your experience a pleasure.
If you are new to the Midlands area, I am thrilled to welcome you and offer you the Southern Hospitality we are so well known for. I look forward to helping you learn all about making my home, yours!
An adjustable rate mortgage (ARM) has an interest rate that fluctuates periodically. This is in contrast to a fixed rate mortgage, which always has the same interest rate.
Every ARM has basic components:
An ARM’s interest rate is tied to one of many economic indices, some examples of which are the 1-year constant maturity Treasury security, the Cost of Funds Index, or the London Interbank Offered Rate. Different indices move at different rates so know the characteristics of the index used for your ARM.
The interest rate for your ARM will be calculated by adding a margin to the interest rate from the index. The margin is basically the markup charged by the lender that allows them to make a profit off of your loan, such as adding 2% to the index, where the 2% is the margin. The margin of your loan usually does not fluctuate.
The Adjustment Period controls when and how often your interest rate changes. For example, if your ARM has an adjustment period of 1 year, your interest rate will be subject to change at the end of each year and your monthly mortgage payment will be recalculated to reflect this change.
Interest rate caps are built into the loan to protect the borrower from drastic interest rate fluctuations. The caps limit how much the interest rate or monthly payment can change at the end of each adjustment period. An ARM can also have a cap for the life of the loan. For example, during the life of a loan, the interest rate can only be increased by 5%.
The Initial Interest Rate is the interest rate that you start with at the beginning of your loan period. The length of time your loan stays at this rate is built into the loan. For example, you may stay at the initial interest rate for 1 year, 5 years, or another length of time depending on your specific mortgage. This type of ARM is generally referred to as a Hybrid ARM. The initial interest rate for an adjustable rate mortgage is generally lower than that of a fixed rate mortgage.
Back to Table of ContentsQUICK SEARCH OF REAL TIME MLS LISTINGS HERE!
You have come to the right place if you are looking to buy or sell a home in the Midlands area. I am here to offer my expertise and am committed to making your experience exceptional. There are many tools here to assist you which range from assisting you in your home search to deciding where to go for dinner! Explore the site and links. If you can’t find it here, call or email me and I’ll be happy to assist in answering your questions.
SELLERS
Look at your competition! I will share my knowledge and experience with you. I am realistic and committed to making the process as seamless as possible. I believe in keeping you informed on activity, my unique marketing strategies and current trends in our local real estate market. As a team, we will get to the closing table!
BUYERS
Start your search here! I value your time and opinions and I hope that you will make the most of my expertise. I am ready to listen to your needs and learn what features you most desire. With this information, I’ll do my homework so that you don’t have to. My goal is to find your home and make your experience a pleasure.
If you are new to the Midlands area, I am thrilled to welcome you and offer you the Southern Hospitality we are so well known for. I look forward to helping you learn all about making my home, yours!