Variable Rate Mortgages at Cleveland Ohio Mortgage
Definition – Variable rate mortgages are home loans where the rate is an adjustable rate for a certain amount of time. The rates move according to the index (libor, mta, cofi) that the loan is assigned to. Typically there are 1 month, 6 month, and 12 month ARMs available. (ie. The rate would change every single month on a 1 month ARM.)
Advantages – These rates tend to be lower than other programs that are offered, allowing you to catch up on other debt. If the market is good and rates drop, you may see your rate drop along with your payment.
Disadvantages – The rate is a variable rate and may eventually start to go up depending on market conditions. Along with the rate, your payment may increase.
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Here are some of areas in Ohio where we can offer a variable rate mortgage: Canton, Cincinnati, Columbus, Cleveland, Akron, Toledo, Dayton, Hamilton, Lima and Youngstown