Fixed-Rate vs Adjustable-Rate Mortgage

One of the first choices you'll make with a lender is whether to use a fixed-rate or adjustable-rate mortgage. Each fits different situations.

Fixed-Rate Mortgage

Your interest rate and principal-and-interest payment stay the same for the entire loan term. This offers predictability and protection if rates rise, which is why it's the most popular choice.

Adjustable-Rate Mortgage (ARM)

An ARM starts with a fixed rate for a set period, such as 5, 7, or 10 years, then adjusts periodically. The starting rate is often lower, but your payment can change later.

Which One Makes Sense?

A fixed rate suits buyers who plan to stay long term and want stability. An ARM may fit buyers who expect to move or refinance before the fixed period ends.

Let's Talk It Through

As your REALTOR, I can connect you with lenders who'll compare fixed and adjustable options for your goals. Reach out and we'll find the right fit.