Question 1

What makes a portfolio ARM different from a regular ARM?

Accepted Answer

The lender keeps it on their own books instead of selling it. That means they set the terms — more flexibility for borrowers who don't fit agency guidelines.

Question 2

Can I use a portfolio ARM to buy a rental property in Eureka?

Accepted Answer

Yes. Many portfolio ARM programs cover investment properties. Some lenders in this space also allow rental income to qualify.

Question 3

How does the rate adjust after the initial period?

Accepted Answer

It depends on the index and margin your lender uses. Ask specifically about rate caps — they limit how much your payment can increase each adjustment period.

Question 4

Is a portfolio ARM a non-QM loan?

Accepted Answer

Usually yes. Because they don't meet standard agency guidelines, they fall into non-QM territory. That's not a red flag — it just means different rules apply.

Question 5

Are portfolio ARMs available for self-employed borrowers in Humboldt County?

Accepted Answer

Yes. That's actually one of the strongest use cases. Many portfolio lenders will use bank statements or asset depletion instead of tax returns.

Portfolio ARMs in Eureka, CA — Flexible Financing on Your Terms