Adjustable Rate Mortgage (ARM)
An ARM can provide greater buying power, and the low introductory rates of Florence Savings Bank ARMs deliver savings at the beginning of a loan.
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- Summary
- Local decision-making
- Mortgage Prequalification available
- Lower monthly payments initially
- Annual rate adjustments after the initial period
- Maximum rate adjustment of 2% per rate review and 6% over lifetime of the loan
- Choice of down payment options
- Available for owner-occupied 1- to 4-family homes
- Rate-lock options available
- Why Choose an ARM?
The initial interest rate is lower with an ARM over a fixed rate mortgage. This is an obvious advantage. But many people wonder, "Why choose an ARM if the rate might keep increasing?" Good question. It's not for everyone, but an ARM could be perfect if:
- You plan on selling your home in 5-10 years
- You expect your salary and income to increase within a few years
- You budget appropriately to anticipate possible increases
- First-Time Homebuyer Program
The First-Time Homebuyer Program is available if you have not owned a home within the last three years from the date of application. We also participate in a number of federal and state programs designed to help first-time homebuyers overcome some of the obstacles to getting a mortgage, including the Guaranteed Rural Housing Program, Soft Second Loan Program, and the MassHousing Loan Program. Low down payment options are available. Contact FSB to learn more.
