Question 1

How long is the fixed period on an ARM?

Accepted Answer

Common options are 5, 7, or 10 years fixed. After that, the rate adjusts annually based on a market index.

Question 2

What happens when my ARM adjusts?

Accepted Answer

Your rate moves up or down based on a benchmark index plus a margin. Rate caps limit how much it can change at once.

Question 3

Can I get a jumbo ARM for a Marin County home?

Accepted Answer

Yes. Jumbo ARMs are widely available and often the most competitive option for San Anselmo price points.

Question 4

Is an ARM risky in this market?

Accepted Answer

Risk depends on your timeline. If you plan to sell or refinance within the fixed period, the rate adjustment may never affect you.

Question 5

How does an ARM compare to a 30-year fixed right now?

Accepted Answer

ARM rates typically run lower than 30-year fixed rates. Rates vary by borrower profile and market conditions.

Question 6

Can I refinance out of an ARM later?

Accepted Answer

Yes. Many Marin buyers use an ARM to lower initial payments, then refinance if rates drop or before the fixed period ends.

ARM Loans in San Anselmo: Lower Rates, Smarter Strategy