Financing an Adjustable Rate Mortgage

When is it a good decision to finance (or refinance) to an adjustable rate mortgage (ARM)?

What is your goal? If your goal is to keep your monthly payments as low as possible and you have a specific time frame for selling your property, an ARM might be the best option for you.  If your goal is to pay down the loan quickly or to avoid the risk of increasing monthly payments, then a fixed-rate mortgage might be a better option.  If paying the loan down quickly is your goal, a 10 or 15 year mortgage may fit your needs as well.

Danielle Hifko

New American Mortgage