[ ree-ni-goh-shee-uh-buh l-reyt, -shuh-buh l- ]
/ ˌri nɪˈgoʊ ʃi ə bəlˌreɪt, -ʃə bəl- /
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
Did You Know How This Word Was Formed?Words are funny things. Here are some that might not mean what you thought ... at least when they were originally formed.
Also called rollover mortgage.
Dictionary.com Unabridged Based on the Random House Unabridged Dictionary, © Random House, Inc. 2019