FLORIDA KNOWLEDGE CENTER

An ARM, or Adjustable Rate Mortgage which is approaching the end of its introductory fixed rate period (usually 2 or 3 years from the purchase date or the date it was last refinanced) in 2007 or 2008 will usually mean a substantially higher mortgage rate and mortgage payment.

Current market conditions make the option of refinancing an expiring Adjustable Rate ARM mortgage to convert to a fixed rate and fixed payment mortgage more attractive than ever. Adjustable rates are at 5 year highs, and fixed rates are currently a bargain.

Refinancing your adjustable rate mortgage into a fixed rate mortgage is a good idea if you plan on keeping the home longer than 3 years. This will provide borrowers with the peace of mind in having a set payment.

In most cases, a mortgage rate adjustment means a sudden increase to your monthly bills of hundreds of dollars (or more). These adjustments are costly and could play havoc on your budget, children's tuition needs, savings strategy, retirement plans, etc. Before you are hit with such an adjustment, give me a call at 954-475-8787. I'll be happy to show you how I can save you money every month by placing you into a fixed rate program.

Fixed rates are the most conservative and safest mortgages out there but if you know how to manage your money which most people don't, an option-ARM or better yet an hybrid option-ARM coan be a valuable tool.

Most Adjustable Mortgages have low starting rates. These low starting rates are known as "Teaser Rates". Teaser rates are in place to reward borrowers who are willing to take on the risks of the volatility of the interest market.

Adjustable Rate Mortgages usually carry a much lower introductory mortgage rate and mortgage payment than the equivalent fixed rate mortgage at most times, however for many borrowers a longer term fixed rate mortgage can presently be obtained at mortgage payments which are highly competitive with ARM mortgages. Industry experts do not expect fixed rate mortgages to remain competitive with ARM mortgage rates for long, as historically the gap between the two types of mortgages is substantial, making this an excellent time to consider refinancing adjustable rate ARM mortgages into fixed rate programs.

Refinancing an adjustable rate mortgage (ARM) to a fixed rate mortgage can be a good idea when your adjustable is about to reset. You can avoid paying a higher monthly payment by refinancing your adjustable into a fixed.

If you have an ARM loan, adjustable rate mortgage loan, that is getting ready to make it's first adjustment you should contact a mortgage professional at least 30-60 days in advance so that you can time the refinance perfectly. By timing your refinance perfectly you will not have to experience the large increase in the interest rate and the large increase in your monthly mortgage payment from your Adjustable Rate mortgage, and you will be able to obtain your new loan with your low fixed rate quickly and efficiently.

Many borrowers usually purchase homes with adjustable rate mortgages only to convert them by refinancing to a 30 year mortgages after a few years. As borrowers income increases they can qualify for fixed rate mortgages.

Should you refinance from an adjustable to fixed rate? If you have an adjustable rate, you can be certain that your rate will increase on its adjustment date. It is recommended that you contact a mortgage professional before your rate adjusts. Going from an adjustable to fixed rate will help you avoid continuous, periodic rate increases.

Discuss your long term financing plans with a professional mortgage broker. You may find that long term, refinancing from an adjustable to a fixed rate will fit into your long term financial goals.

Adjustable Rate Mortgages adjust more than just once. Just because you are comfortable paying your new, higher payment doesn't mean that it will be affordable after several more rate adjustments. To put an end to the downward spiral of higher rates and payments, consider refinancing into a fixed rate mortgage loan program.

Florida Mortgage Rates

Getting the right Florida Mortgage Program and Rate is probably the most important part of choosing your Florida Mortgage Loan. Having the best Florida Mortgage Rates will save you thousands of dollars through out the course of the mortgage Loan.

At American Mortgage Rates, we strive on finding the best Florida Mortgage Program and Rate possible for you, the client! Our Licensed Florida mortgage brokers constantly educate them selves on the latest and best Florida mortgage programs to better serve you. There are many different loan programs to choose from which all have different Florida Mortgage Program and Rate, so by staying educated in this area allows us to find you the best Florida Mortgage Program and Rate possible.

Fortunately, due to our production in the mortgage industry we have been able to meet certain standards with our lenders and banks. These standards allow us to pass additional savings to you the client because of our preferred pricing on our Florida Mortgage Program and Rate. Your Florida mortgage broker should go over all the possible Florida Mortgage Program and Rate when choosing your Florida Mortgage.

When inquiring about a Florida Mortgage to your Florida Mortgage broker, be sure to ask about what kind of pre-payment penalty that is associated with that particular Florida Mortgage Program and Rate, some Florida Mortgage Program and Rate have no pre-payment penalty where some have very high penalties. This is something your Florida Mortgage broker should go over with you when choosing the best Florida Mortgage Program and Rate for you.

Feel free to call or inquire over the web about today's Florida Mortgage Program and Rate, we will be happy to quote today's best Florida Mortgage Program and Rate that we have available to us.

Since we work with many Lenders we get the best Florida Mortgage Program and Rate available where when dealing with one particular bank they are limited to there own loan products where they might not have the best available Florida Mortgage Program and Rate that day, when banks compete with each you the savvy mortgage shopper could take advantage of this by working with a real good Florida Mortgage Broker who is up on the Florida Mortgage Program and Rate.

A fixed rate mortgage is a mortgage that has a fixed interest rate for the term of the fixed rate mortgage term. This means your principal and interest payment will not change for the entire term of the loan until it is paid off. A 30 year fixed rate mortgage means that you mortgage is fixed for 30 years. A 15 year fixed means the same that your payment will not change for 15 years and then your mortgage will be paid off.

An Adjustable rate mortgage is a mortgage that has an adjustable interest rate for the term of the mortgage. This means your principal and interest payment will change for the entire term of the loan until it is paid off. Adjustable mortgages can adjust monthly, yearly, or sometimes mat be fixed for 2, 3, 5, 7 and 10 years and then start to adjust more often.

For more information about our many loan programs and Florida Mortgage Program and Rate please call us at 954-475-8787 or fill out our short mortgage form.

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