An Option Arm Even My Mother Would Love
Below is a MRR and PLR article in category Finance -> subcategory Wealth Building.
An Option ARM Even My Mother Would Love
Summary
Clients often ask me if I’d choose an Option ARM for my mother. She once paid off a 15-year mortgage in just 10 years, knowing she’d live in her house forever. But when it was time for major improvements on her charming Tudor, we picked a different kind of Option ARM.Many are familiar with our discussions on the Hybrid or Fixed Option ARM mortgages. The demand has been so high that even our company’s owner fields calls, waiving application fees for lucky callers who reach him directly. My mother, like many callers, recognized the benefits of the Hybrid Option ARM.
Unlike standard Option ARMs, the Hybrid features fixed interest rates and payments for a set period, from 3 to 10 years, while retaining interest-only options afterward. Starting rates range from the high 3s to low 5s, depending on credit. My mother, with excellent credit, secured funding for home improvements and debt consolidation with a monthly minimum payment of about $275. This is akin to a fully amortized loan with Zero Percent Interest.
Your eligibility will depend on your credit history and property equity, but a credit score of 620 or above and at least 25% home equity could qualify you. Though not as cheap as a standard start rate, it’s more understandable and stable. The fixed payment and interest offer flexibility, allowing principal payments at will, minus monthly rate variations. It even includes a 15-year equivalent payment option, my mom’s favorite.
With a fixed income now, the ability to make minimum payments during costly times, like the Holidays or birthdays, is invaluable. Plus, the cash from better terms allowed her to clear credit card debt and upgrade her home. She’s thrilled with the improvements and reduced expenses.
She loves it, I love her, and if she's happy, then I’m happy too.
You can find the original non-AI version of this article here: An Option Arm Even My Mother Would Love.
You can browse and read all the articles for free. If you want to use them and get PLR and MRR rights, you need to buy the pack. Learn more about this pack of over 100 000 MRR and PLR articles.