An adjustable rate mortgage (ARM) may provide you with more flexibility as it typically has a lower payment than a traditional fixed rate mortgage due to the lower starting interest rate. This type of mortgage may be right for you if you are only expecting to be in the home for a short period of time, such as 3 to 10 years. An ARM offers a low starting payment for the initial period of years you select. After the initial period, for example, after 5 years for a 5-1 ARM, your interest rate and payment will adjust either lower or higher based on the market interest rates. After the initial term, the interest rate will adjust on an annual basis. There are periodic and lifetime interest rate ceiling caps to protect you from large fluctuations in the market. Talk with us today to see if this option is right for you.
-Lower starting monthly payments
-Lower starting interest rate
-Periodic and lifetime interest rate caps to protect you from large changes
-Opportunities to borrow larger amounts
Normal credit and underwriting approval is required. Private Mortgage Insurance (PMI) applies if loan-to-value (LTV) is greater than 80%.
Buying a home is a big investment in your family's future. Uwharrie Bank Mortgage is here to make it the best experience possible. Whether you're purchasing new property, refinancing, buying an investment or vacation home, Uwharrie has a financing plan that will get it done.
Uwharrie Bank is committed to helping customers in our community achieve successful homeownership. We have many programs designed to provide solutions to first time homebuyers, including many affordable housing options.
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