f23fe56e_Mortgage_Types___Union__Description
[Type] 10/1 Adjustable Rate Mortgage [Benefits] This is the most stable of ARM loans as it offers a decade of fixed rate protection. The interest rate is usually slightly lower than that of a fixed rate mortgage. [Description] 
The interest rate on this loan program is fixed for the first ten years. After that period the rate adjusts annually for the remaining 20 years of the 30 year loan term. Each rate adjustment is predicated on a pre-selected index (usually LIBOR or Treasury Bill) plus a margin of interest. Annual and lifetime rate caps provide some protection against rising rates.
Mortgage Types | Union
Description