Adjustable Rate Mortgages

Las Vegas ARM

With an adjustable rate mortgage, the interest rate will change after the fixed period ends.  The principal and interest portion of your house payment will stay the same during the fixed period.  Typically, fixed periods will range from 1 year, 3 year, 5 year, 7 year and all the way up to 10 year terms.  After the fixed period expires, your rate will change or adjust.  The rate may decrease as federal interest rates decrease, however, your interest rate could increase if federal rates go up.  Adjustable Rate Mortgages typically offer a lower interest rate as compared to a fixed rate mortgage.  Adjustable Rate Mortgages follow these common indices:  Constant Maturity Treasuries (CMT), Cost of Savings Index (COSI), 11th District Cost of Funds Index (COFI), London Inter Bank Offering Rate (LIBOR), and Monthly Treasury Average (MTA).

After the fixed period ends, your interest rate will be calculated by adding the margin to the applicable index rate.  So for example if your loan was based off of the 1 YR LIBOR index and the margin of your loan is 2.75%, then the new interest rate will be the LIBOR rate plus 2.75%.  Currently 1 YR LIBOR is running at approximately 2.65%.  So your new rate would be:

2.65   +   2.75   =   5.40%

Is the fixed period of your Nevada adjustable rate mortgage ending and you would like to determine what the payment is going to be?  Or, are you just looking for the lowest adjustable mortgage rates in Las Vegas?  Please don't hestiate and call me today - I am local to Las Vegas.  I have advanced technologies in place that can compare your loan side by side with other loan options in the market.  We can map exactly where your loan will be at any period in the future, including exactly how much interest you will pay and how much principal you will pay.  We can also apply additional payments to see how quickly you can pay off the loan or what additional payments will do for you yielding a higher interest rate in an alternative investment. 

Finding the adjustable rate mortage
that is right for you is what I do
Contact me for a free information
Casey Moseman
702-271-1274

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