Adjustable Rate Mortgages

5/1 ARM

Fixed for first 5 years
1 year adjustments thereafter

Adjustment Caps
3/2/5

Margin
2.75%

Index Rate
1 year treasury bill

General
The 5/1 Adustable Rate Mortgage has a fixed rate for the first five years and then becomes a one year adjustable rate loan thereafter.  The first adjustment could be as much as 3% points higher than the start rate with subsequent annual rate adjustments, either up or down, not to exceed 2% points from the previous adjustments, such adjustments calculated by adding the Margin of 2.75% points to the Index Rate and rounding to the nearest 1/8th of a point.

Thies Mortgage Corporation
119 Huntley Place
Charlotte, NC 28207
(704) 372-3030

Serving Charlotte
and the
Carolinas
Since 1906

© Copyright Thies Realty & Mortgage Co., 2000, all rights reserved.