Question 1

How much do Portfolio ARM rates adjust after the fixed period?

Accepted Answer

Most adjust annually based on an index plus margin, typically capped at 2% per adjustment and 5-6% lifetime. Your initial disclosure shows exact caps and adjustment schedule.

Question 2

Can I qualify with recent tax returns showing losses?

Accepted Answer

Yes, portfolio lenders look beyond tax returns to bank statements, asset reserves, and property performance. Business losses don't automatically disqualify you like they do with conventional loans.

Question 3

Do portfolio lenders finance mixed-use properties in Huntington Park?

Accepted Answer

Absolutely. Portfolio programs handle residential units above commercial space, which conventional loans often restrict or reject outright.

Question 4

What happens if I can't refinance before the rate adjusts?

Accepted Answer

You continue making payments at the adjusted rate. Lifetime caps protect you from unlimited increases, and many borrowers stay in ARMs long-term without issues.

Question 5

Are portfolio ARMs only for people with credit problems?

Accepted Answer

No. Most portfolio ARM borrowers have 700+ credit but complex income or property situations that don't fit conventional boxes.

Portfolio ARMs in Huntington Park: Flexible Financing for Complex Situations