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Adjustable Rate Mortgage Loan Product - Without An Introductory Rate

06/03/2007

The Mortgage Store Online announces it is now offering a 5 year term adjustable interest rate mortgage that, unlike most adjustable rate mortgages, adjusts at only 3 month intervals. This adjustable interest rate home mortgage gives you the advantage of knowing better what your payments are going to be for each quarter of the year.

This adjustable rate mortgage has a discount rate off the bank prime interest rate, that today being 6.00%, of .80%, making today's rate on this adjustable rate mortgage an attractive 5.20%. Monthly principal and interest payments on a $200,000 mortgage with a 40 year amortization (the amount of time you have to pay back the mortgage) come to a mere $983.62. This interest rate is tied to the bank prime interest rate, so if the bank prime rate changes, up or down, the interest rate on this mortgage will also change (always at bank prime minus .80%), but only every 3 months, even though bank prime could change very month. With the quarterly change instead of monthly, this gives you a bit of a cushion when there are changes in the prime rate.

This adjustable interest rate mortgage is also available at an even greater discounted rate. The one and only difference is that the interest rate on this product is subject to change monthly, in conjunction with any change in the bank prime interest rate. The interest rate on this is bank prime minus .90%, today making it 5.10% interest. Monthly payments on this mortgage for a $200,000 amount is only $970.58, principal and interest, based on today's prime rate. This adjustable interest rate mortgage stays at prime minus .90% during the full 5 year term of the mortgage, making it the lowest interest rate 5 year adjustable mortgage in the industry today. If the rate goes down, it is an advantage to have the lower interest rate quicker, but it loses that advantage if the prime rate goes up. However, it always has the plus of giving you the better interest rate of the bank prime interest rate minus .90%.

The choice is up to the borrower which adjustable rate mortgage they want. Both are available for 100% financing for a purchase and up to 95% for re-financing, and both can be amortized up to 40 years. Both of these adjustable interest rate mortgages also have the option of locking in payments to pay down the mortgage quicker.

Request this specific adjustable rate mortgage product now!

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