The advertised loan is a 5/1 ARM (Adjustable Rate Mortgage) with a 30-year fully amortizing term.
After the initial period, the variable interest rate and payment will adjust every year and equal the total of the 12-month LIBOR index (1.92% as of 13-Dec-19) plus a margin of 1.95%.
The maximum periodic change in the interest rate is 2% with a maximum rate increase of % above the initial interest rate.
If the interest rate adjusted to the maximum rate (which could not occur until after the fifth year), the maximum monthly payment for each loan amount would be: $1272.42 for $175,000; $1442.84 for $200,000; $1,609.94 for $225,000; $1803.55 for $250,000; $2812.28 for $400,000.
There is no prepayment penalty.
The Annual Percentage Rate (APR) is variable and is subject to increase or decrease, so your payments may increase or decrease each year after the initial period.
The chart below shows the interest rate, APR, and the initial monthly payments:
Payment Examples
Loan Amount
Initial
Interest Rate
(for 60 months)
APR
Initial Monthly
Payments
(for 60 months)
$175,000
4.125%
3.578%
$848
$200,000
3%
3.215%
$843
$225,000
3%
3.208%
$949
$250,000
2.875%
3.161%
$1037
$400,000
2.875%
3.187%
$1660
Disclosure Assumptions
Interest rate quoted assumes a FICO score of 720 with a maximum loan-to-value ratio of 80% on a primary residence.
The actual interest rate, APR and payment may vary based on the specific terms of the loan selected, verification of information, your credit history, the location and type of property and other factors as determined by Lenders.
The initial interest rate is fixed for 5 years. The disclosed APR is based on 0 discount points, 0%% origination fee and additional prepaid finance charges which will be due at closing. First adjusted payment will likely increase to approximately 1,239.35.
Interest rate and APR are variable and subject to increase
Not available in all states.
Rates are subject to change daily without notice.
Payment amounts shown do not include taxes or insurance.
Disclosure Assumptions
The advertised loan is a 15-year fixed rate full amortizing loan, assuming a $225,000 loan amount and a 2.5% interest rate.
This loan has 180 monthly principal and interest payments of $1500. The disclosed APR is based on 0 discount points, 0% origination fee and $ in additional prepaid finance charges due at closing.
The Annual Percentage Rate (APR) is 2.599%.
Interest rate quoted assumes a FICO score of 720 with a maximum loan-to-value ratio of 80% on a primary residence.
The actual interest rate, APR and payment may vary based on the specific terms of the loan selected, verification of information, your credit history, the location and type of property and other factors as determined by Lenders.
Not available in all states.
Rates are subject to change daily without notice.
Payment amounts shown do not include taxes or insurance.
Disclosure Assumptions
The advertised loan is a 30-year fixed rate fully amortizing loan, assuming a $225,000 loan amount and a 2.75% interest rate.
This loan has 360 monthly principal and interest payments of $919. The disclosed APR is based on 0 discount points, 0% origination fee and $ in additional prepaid finance charges due at closing.
The Annual Percentage Rate (APR) is 2.905%.
Interest rate quoted assumes a FICO score of 720 with a maximum loan-to-value ratio of 80% on a primary residence.
The actual interest rate, APR and payment may vary based on the specific terms of the loan selected, verification of information, your credit history, the location and type of property and other factors as determined by Lenders.
Not available in all states.
Rates are subject to change daily without notice.
Payment amounts shown do not include taxes or insurance.
Interest rates and terms are from a lender or lenders with whom Affordable Home Finance Inc may match you and that offer the particular product. The disclosures are current as of the date indicated.
Affordable Home Finance Inc is not a lender in any transaction and does not make loans. All credit decisions, including loan approval and the conditional rates and terms you are offered, are the responsibility of the participating lenders and will vary based upon your loan request, your particular financial situation, and criteria determined by the lenders to whom you are matched. Not all consumers will qualify for the advertised rates and terms. APR may be in lieu of rebates or incentives.
FICO score means the FICO credit score report that a lender receives from a consumer reporting agency.
