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renegotiable-rate mortgage

[ ree-ni-goh-shee-uh-buhl-reyt, -shuh-buhl- ]
/ ˌri nɪˈgoʊ ʃi ə bəlˌreɪt, -ʃə bəl- /
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noun

a type of home mortgage for which monthly payments stay constant for a term, usually of three to five years, and the interest rate is renegotiated at the end of every such term until the loan is paid off. Abbreviation: RRM

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Also called rollover mortgage.

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Dictionary.com Unabridged Based on the Random House Unabridged Dictionary, © Random House, Inc. 2021

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