Question 1

How long does my rate stay fixed on an ARM?

Accepted Answer

It depends on the product. A 5/1 ARM fixes your rate for five years. A 7/1 ARM holds it for seven.

Question 2

What happens when my ARM adjusts?

Accepted Answer

Your rate moves based on an index plus a margin. Caps limit how much it can change at each adjustment and over the loan's life.

Question 3

Is an ARM risky in Rancho Cucamonga?

Accepted Answer

Not if your timeline matches the fixed period. Buyers who plan to sell or refinance before the first adjustment carry minimal rate risk.

Question 4

Can I refinance out of my ARM before it adjusts?

Accepted Answer

Yes. Most ARM borrowers refinance before the fixed period ends. We can run the numbers on when that makes sense for you.

Question 5

Do ARMs work for jumbo loans in RC?

Accepted Answer

They work especially well. The rate savings on a large loan balance add up fast. Jumbo ARMs are one of our most common RC scenarios.

Question 6

What credit score do I need for an ARM in San Bernardino County?

Accepted Answer

Lenders require at least a 620. Scores above 700 qualify for significantly better initial rates and terms.

ARM Loans in Rancho Cucamonga: Lower Rates, Smarter Strategy