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adjustable-rate mortgage
[uh-juhs-tuh-buhl-reyt]
noun
a mortgage that provides for periodic changes in the interest rate, based on changing market condtions. ARM
Example Sentences
My interest rate is 4%, but could change in five years as it is a variable adjustable-rate mortgage.
“The price was absurd, and they were giving her a no money down option adjustable-rate mortgage,” says Eisman, who talked her into taking out a conventional fixed-rate mortgage.
For the same reason, would an adjustable-rate mortgage make sense?
The elder Ms. Alcin had menial agricultural jobs — work that, at the age of 67, has become more difficult to do, even as she tries to make higher payments on her home’s adjustable-rate mortgage.
But Clark had watched her mother, during the subprime-mortgage boom, be lured into homeownership by a “teaser” mortgage rate, only to lose her home to foreclosure when that adjustable-rate mortgage ballooned and she could no longer afford the payments.
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