You can save some money when you get a mortgage with an adjustable interest rate, especially when rates are low. This option also is helpful for providing more breathing room.
Here's how ARMs work: You get a fixed rate for a few years before the mortgage adjusts annually, based on a particular index value. Point is, you either want to sell before your rate increases or refinance your mortgage. But you'll save money upfront because the intro rate is lower than a fixed-rate option.
Increases the availability of credit.
Get a fixed rate for 3, 5, 7, or 10 years before the mortgage starts to adjust.
If you are planning to sell your home before the fixed rate term adjusts your rate upward this program is ideal.
Get a mortgage with as little as 5% down payment.