Question 1

What is a portfolio ARM loan?

Accepted Answer

It's an adjustable-rate mortgage the lender keeps in-house. They set their own terms — not Fannie Mae's.

Question 2

How long is the fixed rate period?

Accepted Answer

Most portfolio ARMs fix the rate for 5, 7, or 10 years. After that, the rate adjusts annually.

Question 3

Can I qualify with self-employment income?

Accepted Answer

Yes. Many portfolio lenders accept 12-24 months of bank statements. Tax returns are often not required.

Question 4

Are portfolio ARMs available for rural Jackson properties?

Accepted Answer

Often yes. Portfolio lenders set their own property guidelines. Rural parcels that fail conventional appraisal rules may still qualify.

Question 5

What credit score do I need?

Accepted Answer

Expect a 680 minimum at most portfolio lenders. Some go lower with compensating factors like strong reserves.

Question 6

Is there a prepayment penalty?

Accepted Answer

Some portfolio ARMs include them — typically 3 years. Always ask before committing. This is non-negotiable on some programs.

Portfolio ARMs in Jackson, CA — Flexible Lending for Amador County