Should I go for ARM or FRM?
Date: Wed, 08/10/2016 - 00:08
Should I go for ARM or FRM?
The interest rate on both ARM and FRM is 2.78. Which one should I opt for? ARM or FRM? I'm planning to buy my first house in this year.
RE: ARM or FRM?
For how many years you're going to stay in that house? 5-7 years or more than 15 years? FRM is a wise option for you if you're gonna live there for more than 15 years. But, if you have plans to move out from there within few years, the ARM is best for you. It is because the initial low rate cap will help you to save money for other future investments. Due to the impact of recent Brexit vote, there might be a great downfall in US mortgage rates in coming days. So, choose wisely.
If you choose ARM, then make
If you choose ARM, then make sure you're able to pay the monthly amount with the highest interest rate cap.
