Recent Demand for Adjustable-Rate Mortgages Surges to a 14-Year High

Adjustable-rate mortgages (ARMs) offer lower rates which can be fixed for terms like five, seven or 10 years. Trends show that homebuyers are showing more demand for ARMs to give them an advantage as both rates and home prices continue to climb. At the start of this year, when rates were still hovering near record lows, the ARM share was just 3% of all purchase applications. At 11%, that is the highest share since March 2008. Read more about the recent trend in financing a home when you click here.