Adjustable-Rate Mortgage (ARM)

Adjustable-Rate Mortgage (ARM),

What is Adjustable-Rate Mortgage (ARM)?

An adjustable mortgage (ARM) is a type of home loan in which the interest rate on the balance varies over the life of the loan. With variable mortgage rates, the initial interest rate is fixed for a specific period. After this initial stage, the interest rate is periodically adjusted again at annual or monthly intervals. ARMs are also known as adjusted rate mortgages or variable rate mortgages. The ARM level is reset based on an additional margin in addition to the benchmark or index called the ARM margin.

  • An adjustable mortgage (ARM) is a type of home loan in which the interest rate on the balance varies over the life of the loan.
  • With an adjustable interest rate mortgage limit, there is a limit to the increase in interest rates and / or payments each year or during the loan period.
  • ARM can be a great financial choice for home buyers who plan to repay the loan in full within a specified time, or for those who will have no financial difficulty in adjusting interest rates. ۔

Adjustable mortgage rates that are adjusted monthly, semi-annually or annually. Optional and hybrid mortgages are also considered variable rate mortgages.

Literal Meanings of Adjustable-Rate Mortgage (ARM)

Adjustable:

Sentences of Adjustable
  1. The car has fully adjustable seats and steering wheel.

Synonyms of Adjustable

modifiable, convertible, movable, multiway, alterable, mobile, versatile, accommodating, variable, adaptable

Rate:

Meanings of Rate:
  1. A measure, quantity or frequency that is usually measured in relation to another quantity or measure.

  2. A fixed price is paid or charged for something.

  3. Set a pattern or value for a specific scale (object).

  4. Think of it as a special quality or standard.

  5. Correct spelling

  6. Soak (linen or linen) in water to soften it.

Sentences of Rate
  1. The island has one of the lowest crime rates in the world.

  2. Minimum hourly rate 40 3.40

  3. They were asked to evaluate their skills in various driving techniques.

  4. Atkinson called him the best defender in Europe.

  5. Judging this young man for his disrespect.

  6. Cannabis was removed and used as hemp to make clothes.

Synonyms of Rate

class, compute, count, think to be, remuneration, tax, grade, place, regard, charge, appraise, value, judge, amount, estimate, toll, judge to be, levy, weigh up, deem to be

Mortgage:

Meanings of Mortgage:
  1. Legal arrangements including banks, mortgage lenders, etc. Lend money at interest for the property of the lender's property, provided that the transfer of ownership ends after the loan is repaid.

  2. Assign (property) to lenders as collateral for loans.

Sentences of Mortgage
  1. I deposited one lakh in cash and mortgaged the rest.

  2. The form is mortgaged

ARM:

Meanings of ARM:
  1. Each of the two upper parts of the human body, from the shoulders to the hands.

  2. An object is compared to a shape or an arm, usually something that comes out of a larger frame.

  3. Each line contains an angle.

  4. Delivery or delivery of weapons.

  5. Turn on the detonator (■■■■, missile or other explosive device) to detonate.

Sentences of ARM
  1. She is holding the baby in her arms.

  2. The cables fasten to the steel arm mounted near the top of the tower.

  3. Security forces are equipped with automatic rifles.

  4. The ■■■■ will be safe enough for weapons.

Synonyms of ARM

wing, fit up, section, division, issue, fit out, offshoot, satellite, agency, bureau, lodge, upper limb, equip, appendage, outfit, forelimb, detachment, sector, furnish, stock, office, subdivision, accoutre, provision, gird, department