An adjustable-rate mortgage locks in your rate for the first few years, then changes it periodically
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An adjustable-rate mortgage (ARM) secures your rate for the first few years of your loan, then changes the rate periodically — unlike a fixed-rate mortgage, which locks in your rate for the entire life of the loan.

Most lenders will offer a 7/1 ARM and 5/1 ARM, but many provide more term options.

Your ARM rate depends on a rate index, and on the margin determined by your lender.

Because ARM rates usually start lower than fixed-rate mortgage rates, ARMs are...

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