It's been a while since i have posted any rate information, and with rates bouncing up and down on a daily basis, i figured now would be a good time. The above rate is for a five year fixed, also know an an arm. The rate is fixed for 5 five years and then can adjust once a year for the remainder of the term of the loan. The margin for the loan is 2.25%, and the index is the 1 year libor, which is currently at .784. This is a great rate, but this loan is not for everyone. So if you are risk averse, stick with the 30 and 15 year fixed.
The following assumptions are made for this loan: Loan to value of 80% or less, a loan amount of $200k to $417k, and owner occupied primary residence, purchase or rate and term refinance, a middle credit score of 740 or above, and an origination fee of one percent of the loan amount. A seven year fixed is also available with the same assumptions, but with a rate of 2.75% and an apr of 2.853%.
HAPPY NEW YEAR EVERYONE!!!