A fixed-rate mortgage has an interest rate that remains the same for the life of the loan, providing predictable principal and interest payments.
An adjustable-rate mortgage (ARM) typically offers an interest rate that is fixed for an initial period. After that period, the rate may adjust periodically based on the terms of the loan and the applicable index. This means your interest rate and monthly payment could increase or decrease over time.
We can help you compare both options based on your goals and how long you anticipate owning the home.