Question 1

What makes a portfolio ARM different from a regular ARM?

Accepted Answer

The lender keeps the loan instead of selling it. That means they set their own terms and underwriting standards.

Question 2

How long is the initial fixed-rate period?

Accepted Answer

Common structures are 5/1, 7/1, and 10/1 ARMs. The first number is the fixed-rate years before adjustment begins.

Question 3

Can I use RSU income to qualify in Cupertino?

Accepted Answer

Many portfolio lenders accept RSU income. Documentation requirements vary — some want two years of vesting history.

Question 4

What credit score do I need for a portfolio ARM?

Accepted Answer

Most portfolio lenders in Santa Clara County want 700 or higher. Some require 720+ for the best rate tiers.

Question 5

Are portfolio ARMs riskier than fixed loans?

Accepted Answer

Your rate adjusts after the fixed period. If you plan to sell or refinance before then, that risk is minimal.

Question 6

How much do I need in reserves?

Accepted Answer

Expect lenders to want 12 months of payments in liquid assets. High loan amounts in Cupertino make reserves critical.

Portfolio ARMs in Cupertino: Flexible Financing for High-Value Homes