Features & Benefits
Your rate will remain the same over the life of your loan.
Pros of a Fixed-rate Mortgage:
- Monthly payments are more predictable than an Adjustable-rate Mortgage
- If market rates increase, your mortgage rate will not be affected
Cons of a Fixed-rate Mortgage:
- If market rates decrease, you'll need to apply for refinancing if you want to lower your rate
Adjustable-rate Mortgages (ARMs)
ARMs typically offer a lower initial rate than a Fixed-rate Mortgage. After a specified number of years, the initial rate becomes variable and may adjust periodically with the market.
Pros of an ARM:
- Because the initial rate is fixed at a reduced rate, initial payments are predictable and typically lower than a comparable Fixed-rate Mortgage
- If market rates increase, rate caps protect you from extreme increases to your rate and monthly payments
- If market rates decrease, you'll enjoy lower monthly payments without needing to apply for refinancing
Cons of an ARM:
- Payments can vary after your initial fixed rate expires
Learn more about Adjustable-rate Mortgages from the Consumer Financial Protection Bureau's "Consumer Handbook on Adjustable-Rate Mortgages".
Rates, Terms & Payments
|Term||Rate As Low As||APR1 As Low As||Points||Payment Per $1,0002|
|15 -Year||5.375%||4 5.561%||0%||$8.17|
|Term||Rate As Low As||APR1 As Low As3||Points||Payment Per $1,0002|
You could qualify for home financing offers with Prime Financial Credit Union:
- First-time Homebuyer: Purchase your first time with as little as 5% down and $1,000 off closing costs.
- Community Heroes: You could qualify for a loan with as little as 10% down and no private mortgage insurance (PMI) if you work in a qualifying public service sector.
To learn more about these offers, visit our Home Loan Specials page