adjustable-rate mortgage

adjustable-rate mortgage
adjustable-rate mortgage ( ARM)
A loan for which the interest rate ( coupon rate) is adjusted periodically to reflect changes in a previously selected index rate. ARMs may have caps and floors that limit the annual and/or the lifetime change in the coupon rate. American Banker Glossary
( ARM)
A mortgage that features predetermined adjustments of the loan interest rate at regular intervals based on an established index. The interest rate is adjusted at each interval to a rate equivalent to the index value plus a predetermined spread, or margin, over the index, usually subject to per-interval and to life-of- loan interest rate and/or payment rate caps. Bloomberg Financial Dictionary

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adjustable-rate mortgage adjustable-rate mortgage mortgage1

Financial and business terms. 2012.

Look at other dictionaries:

  • adjustable rate mortgage — see mortgage Merriam Webster’s Dictionary of Law. Merriam Webster. 1996. adjustable rate mortgage …   Law dictionary

  • adjustable rate mortgage — UK US noun [C] FINANCE, PROPERTY ► VARIABLE RATE MORTGAGE(Cf. ↑variable rate mortgage) …   Financial and business terms

  • Adjustable-rate mortgage — A variable rate mortgage, adjustable rate mortgage (ARM), or tracker mortgage is a mortgage loan with the interest rate on the note periodically adjusted based on an index which reflects the cost to the lender of borrowing on the credit… …   Wikipedia

  • adjustable rate mortgage — noun : a mortgage having an interest rate which is usually initially lower than that of a fixed rate mortgage but is adjusted periodically according to the cost of funds to the lender abbreviation ARM * * * (abbr.: ARM) n. a mortgage whose rate… …   Useful english dictionary

  • Adjustable-Rate Mortgage — (ARM) (Ипотечный кредит с плавающей ставкой ИКПС) ипотечный кредит, у которого процентная ставка переустанавливается через регулярные периоды времени. Переустановка значения ставки производится в соответствии с заранее определенным критерием. Как …   Ипотека. Словарь терминов

  • adjustable rate mortgage — noun Date: 1981 a mortgage having an interest rate which is usually initially lower than that of a mortgage with a fixed rate but is adjusted periodically according to the cost of funds to the lender …   New Collegiate Dictionary

  • adjustable-rate mortgage — ARM A mortgage in which the interest rate is adjusted at periodic intervals, usually to reflect the prevailing rate of interest in the money markets Borrowers are sometimes protected by a cap, or ceiling, above which the interest rate is not… …   Big dictionary of business and management

  • adjustable-rate mortgage — adjust′able rate mort′gage n. bus a mortgage that provides for a periodic adjustment of the interest rate based on current market conditions Abbr.: ARM …   From formal English to slang

  • adjustable-rate mortgage — /euh jus teuh beuhl rayt / a mortgage that provides for periodic changes in the interest rate, based on changing market conditions. Abbr.: ARM * * * …   Universalium

  • adjustable rate mortgage — /əˌdʒʌstəb(ə)l reɪt mɔ:gɪdʒ/ noun a mortgage where the interest rate changes according to the current market rates. Abbreviation ARM …   Dictionary of banking and finance