Question 1

What ARM terms work best in San Bruno?

Accepted Answer

5/1 and 7/1 ARMs dominate here. They match typical tech job rotations and give you time to sell or refinance before adjustments hit.

Question 2

How much lower are ARM rates than fixed?

Accepted Answer

Expect 0.5-1% lower on start rates as of February 2026. That gap widens on jumbo loans where fixed rates climb faster. Rates vary by borrower profile and market conditions.

Question 3

Can I refinance before my ARM adjusts?

Accepted Answer

You can if rates drop and your credit stays strong. But refinancing isn't guaranteed—plan for adjustment scenarios instead of assuming you'll refi out.

Question 4

Do ARMs require larger down payments?

Accepted Answer

No. Down payment minimums match fixed-rate loans—3% conventional, 10-20% jumbo depending on lender and loan size.

Question 5

What happens if I stay past the fixed period?

Accepted Answer

Your rate adjusts based on the index plus margin, capped by annual and lifetime limits. Payments can increase significantly on jumbo loans.

Question 6

Are ARMs riskier in expensive markets like San Bruno?

Accepted Answer

Yes. Higher loan amounts amplify payment swings when rates adjust. A 2% rate increase on a $1.5M loan adds $2,500 monthly—plan accordingly.

ARM Loans in San Bruno: Lower Starts, Smarter Strategies for Peninsula Buyers