Looking for a mortgage that can adapt to changing interest rates? Consider a Variable-rate Mortgage.
Take advantage of potential interest rate savings with a Variable-rate Mortgage.
What is a Variable-rate Mortgage?
A Variable-rate Mortgage, also known as an Adjustable-rate Mortgage (ARM), is a home loan where the interest rate can change over time based on market conditions. The interest rate is typically based on a benchmark index, such as the prime rate, and can fluctuate up or down during the term of the loan. Variable-rate Mortgages are typically available in terms ranging from 5 to 30 years.
Benefits of a Variable-rate Mortgage
One of the main benefits of a Variable-rate Mortgage is the potential for interest rate savings. If interest rates fall, your mortgage payment could decrease, which can save you money in the long run. Additionally, Variable-rate Mortgages may have lower initial interest rates compared to Fixed-rate Mortgages, which can make them more affordable for some borrowers.
Is a Variable-rate Mortgage right for you?
If you are comfortable with the possibility of your mortgage payment changing over time and want to take advantage of potential interest rate savings, a Variable-rate Mortgage may be the right choice for you. However, if you prefer a predictable and stable monthly payment, or if you plan to stay in your home for a long period of time, a Fixed-rate Mortgage may be a better fit.