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Adjustable Rate Mortgages Disclosure Information

An Adjustable Rate Mortgage (ARM) means the initial interest rate is fixed for an introductory period before adjusting annually.  Our 5/1 ARM is fixed for 5 years, then adjusts annually and may increase based on a market index, but canít go above the predetermined adjustment cap.  Our 5/5 ARM is fixed for 5 years, then adjusts every 5 years and may increase based on a market index, but canít go above the predetermined adjustment cap.

EXAMPLE: A $100,000.00 5/1 ARM financed for 30 years at an interest rate of 4.000% would yield an APR* (Annual Percentage Rate) of 4.046% and 359 monthly payments of $477.41 and 1 final payment of $481.07.

*The APR (Annual Percentage Rate) in this example reflects all pre-paid costs with no points and no odd-days interest. The borrower pays the survey cost if required, title insurance if required, attorney fees, appraisal fee, flood zone determination fee, credit report fee, loan administration fee, mortgage recording tax, abstract re-date. This example assumes the establishment of an escrow account and a 20% down payment on the property. A $350.00 appraisal fee, $200.00 application fee and an $18.00 credit report fee will be collected upon return, by the borrower, of the initial loan disclosures. All loans subject to credit approval. Approval restrictions may apply.

 FIRST TIME HOME BUYERS:  If you qualify under the guidelines as a First Time Home Buyer, the applcation fees and loan administration fees are waived.