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  • Home > Loan Programs > Adjustable Rate Mortgages > 5 Year ARM

    Research 5 Year ARM Rates and Programs

    Family moving boxed into their new home. 5/1 ARM programs offer low introductory rates for a five year period before they begin to adjust. Most 5 year adjustable rate products are tied to either the 1 year LIBOR index or the 1 year US treasury rate (plus the loan's margin). Your loan consultant can explain the benefits and potential liabilities of the various indexes so that you can make a well informed decision. While one 5 year arm may have a lower rate, its index may be historically more volatile and may not be worth the risk if you are only saving an eighth to the rate. 5 year ARM rates are typically lower than 30 year fixed rates which is why most people consider an ARM. Be sure to request quotes on both a 30 year loan and a 5 year adjustable rate mortgage to make sure that there are significant savings. If there are not, then it probably make sense to stick with the security of a 30 year mortgage. Contact American Financial Resources today to learn more about our 5/1 ARM products.

    Contact AFR Mortgage for More Information (3 Options)

    • Call 800-316-9508 for a free consultation.
    • Check 5 year ARM rates using the Mortgage Quote Form on this page.
    • Get Started Online.

    Why Consider a 5 Year Adjustable Rate Mortgage?

    • Can be a good choice for homeowners who only plan on being in the properties for 3-7 years.
    • Should only be considered by people who feel confident in their employment status.
    • 5/1 ARM products are very risky in declining real estate markets unless there is a significant amount of equity in the property. Consumers will not want to be upside down in their homes and not be able to refinance out of a 5 year ARM.

    Call American Financial Resources today to discuss current 5 year ARM rates and for a no obligation mortgage consultation.


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    American Financial Resources is a BBB Accredited Business. Click for the BBB Business Review of this Mortgage Banker in Parsippany NJ