Adjustable-Rate Mortgages
Loan Features
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Low Initial Fixed Rate
During the initial term of your loan, your interest rate will be lower, making your payments more affordable. During the remaining term, the interest rate will change according to an index.
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No Private Mortgage Insurance Required for Most Loans
Most lenders require the borrower to purchase PMI unless they're able to make a down payment of 20%. Most of our Adjustable-Rate Mortgages don’t require PMI, which saves you money each month.
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Refinance Options Available
If you have a mortgage already and want to refinance for a different interest rate or shorter term, this loan may also be a good fit.
Rates 1 2
Loan Type | Interest Rates As Low As | Discount Points | APR As Low As | First Cap | Subsequent Cap | Lifetime Cap |
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5/5 Conforming ARM | 2.500% | 0.250 | 2.873% | 2.00% | 2.00% | 5.00% |
Rates as of Apr 20, 2021 ET.
The interest rate above shows the option of purchasing discount points to lower a loan's interest rate and monthly payment. One point amounts to 1% of the loan amount and is paid at closing. Points don't always have to be round numbers. Purchasing 1.5 points would cost $3,000 on a $200,000 mortgage.
Rates displayed are the as low as rates for purchase loans and refinances of existing Navy Federal loans. Rates for refinance loans where the existing lender is not Navy Federal are subject to a 0.750% higher rate.
Contact us at 1-888-842-6328 to learn more about our 3/5 ARM loan option.
Year | Interest Rate | APR | Monthly Payment |
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Taxes and insurance not included; therefore, the actual payment obligation will be greater. |
Why Choose Navy Federal?
Great loans. Expert guidance. Best-in-class loan service. As a Navy Federal member, you get access to additional benefits to help save you time and money. Get your loan, real estate agent, title services and loan servicing all through us.
Find a Real Estate Agent
Finding the right home starts with finding the right real estate agent. Use RealtyPlus® to connect with a top-performing real estate agent in your area. Plus, you can earn cash back. Exclusively for Navy Federal members.3
Mortgage Learning Center
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The Mortgage Process
It starts with a preapproval and finishes with your perfect home. We've broken down the process to make it easier for you.Learn Moreabout The Mortgage Process -
Mortgage Preapproval
A preapproval lets sellers know you're a serious buyer and gives you more negotiating power when it comes time to make an offer.Learn Moreabout Mortgage Preapproval -
Best Mortgage for You
Need help deciding which loan option works best for you? Check out our Mortgage Match video.Learn Moreabout Best Mortgage for You
Homeowner Resources
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How to Make Mortgage Payments
Find out what makes up your monthly mortgage payments and learn about convenient payment options.Learn Moreabout How to Make Mortgage Payments -
What's an Escrow Account?
Find out how we calculate your escrow payments and get answers to your most frequently asked questions.Learn Moreabout What's an Escrow Account? -
Managing Your HELOC
Get answers to questions about your HELOC, including how we calculate your interest rate.Learn Moreabout Managing Your HELOC
Disclosures
Adjustable Rate Mortgages are variable, and your Annual Percentage Rate (APR) may increase after the original fixed-rate period. The First Adjusted Payments displayed are based on the current Constant Maturity Treasury (CMT) index, plus the margin (fully indexed rate) as of the stated effective date rounded to nearest 1/8th of one percent. All loans subject to credit approval.
↵This rate offer is effective 04/20/2021 and subject to change. Rates displayed are the "as low as" rates for purchase loans and refinances of existing Navy Federal loans. Rates for refinance loans where the existing lender is not Navy Federal are subject to a 0.750% higher rate. Rates are based on creditworthiness, loan-to-value (LTV), occupancy and loan purpose, so your rate and terms may differ. All loans subject to credit approval. Rates quoted require a loan origination fee of 1.00%, which may be waived for a 0.25% increase in interest rate. Many of these programs carry discount points, which may impact your rate.
↵The cash-back bonus is offered in most states and is available for individual sales and purchases of property; offer limited to one cash-back bonus per property with no limit on the amount of times you may use the program. In some states, a gift card or commission credit at closing may be provided in lieu of the cash-back bonus. The program is not available in IA or outside the U.S. Cash-back bonus is not available in AK, LA or OK. In KS and TN, a gift card with preloaded points that are ready for spending at specified retail establishments after closing will be issued. State regulations in KS limit the dollar amounts and the type of incentive. In MS, NJ, and OR, a commission reduction may be available at closing. Please check with the program coordinator for details. This is not a solicitation if you are already represented by a real estate broker. The cash-back bonus is only available with the purchase or sale of your home through the use of a program-referred and -approved real estate agent. The size of your cash-back award depends on the value of the property you are buying or selling. Obtaining the full $8,000 cash-back award requires transacting in a property valued at $1.75 million or greater. To calculate the size of your potential cash back, please visit navyfederal.org/realtyplus. All real estate transactions are negotiable. Contact RealtyPlus for terms and conditions. Standard listing fees apply.
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