Adjustable Rate Mortgage

About Adjustable Rate Mortgages

GTE Financial offers a variety of Adjustable Rate Mortgages, including ARMs that don’t have an annual rate change.

A big reason why home buyers like ARMs is the low Annual Percentage Rate at the beginning of the loan; if you are not planning on staying in your home for longer than 10 years, you can benefit from a lower rate with the understanding you may be moving prior to the rate becoming too expensive. The lower rate of an ARM provides a lower initial monthly payment and increased purchasing power. Unlike a Fixed Rate home loan, the APR will be determined by the market, and therefore can fluctuate and increase over time.


5/1 ARM – Rate stays the same for the first 5 years, then adjusts annually
5/5 ARM – Rate can only change every 5 years
5/5 Mini Jumbo ARM over $417K – Rate can only change every 5 years
3/1 ARM Vacant Land
Construction Loan

An ARM may be a great option to consider if you:

  • Want to maximize your buying power.
  • Want to keep your payments lower during the first few years of your loan.
  • Do not plan on staying in your home for more than 10 years.
  • Plan to pay-off your mortgage within the next 3 to 7 years.
  • If, in the coming years, you expect your income to increase significantly.
  • Depending on your credit history, you may qualify for an ARM when you don’t qualify for a Fixed Rate mortgage.