Wednesday, April 11, 2018

Planning on Staying a While? Avoid ARMs


Planning on Staying a While?  Avoid ARMs

ARMs are not usually a smart option for people who have limited income and plan on staying in their home for many years. 

A borrower that has limited assets or a high debt to income ratio should also avoid ARMs.  A good rule is that if you cannot afford the house without the ARM, then you should not get the house. An ARM is a shared risk between the lender and the borrower. If you cannot risk it – then an ARM is not a good option. 

The Easterbrook Team

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