Refinance Your Jumbo Loan
Adjustable rate mortgages sometimes get a bad reputation but this one for the jumbo market might be what you need.
You can finance or refinance a loan over $417,000. Unlike a normal 5 year Adjustable Rate Mortgage (ARM) with an interest rate that adjusts every year (or 6 months) after the initial 5 year term, on the 5/5 ARM loan program the interest rate is fixed for 5 years at a time. This means the starting rate is fixed for 60 months, then adjusts and stays fixed for another 60 months, and so on for the rest of the 30 year term. The best news is that start rates today are in the mid 3s. With max adjustments of 2%, that means that even after the first adjustment, your interest rate will still be lower than today’s going rate on a 30 year fixed jumbo loan for at least the first 10 years.
Here are just some of the details:
• Loan amounts from $417,000 to $4,000,000
• Fixed for 5 years (60 months at a time)
• Low start rate
• At each rate adjustment the new rate will be the lower of:
1. The index plus margin, or
2. The current rate being offered for new 5/5 ARM loans, or
3. The loan caps of 2/2/5 (2% first adjustment max/ 2% second adjustment max/ 5% max for life of the loan)
• Available on primary homes/condos and second homes. (1 Unit properties only)
• Super Jumbo loans (greater than $750,000) require 2 appraisals
• Loans from $417,000 to $750,000 require 20% down
• Loans greater than $750,000 require 25% down
• Primary purchase requires a minimum of 6 months in liquid reserves
• Second Homes and condos require a minimum of 12 months in liquid reserves.
This is a great opportunity to purchase or refinance your home at an unbelievable rate. Please call or email me today for more details or to pre-qualify.