Life is constantly changing-your mortgage rate ought to keep up. Adjustable-rate mortgages (ARMs) offer the benefit of lower rates of interest upfront, supplying a versatile, economical mortgage solution.

Adjustable-rate mortgages are built for flexibility

Not all mortgages are developed equal. An ARM provides a more versatile technique when compared with traditional fixed-rate mortgages.

An ARM is ideal for short-term house owners, buyers expecting earnings development, investors, those who can handle threat, first-time property buyers, and people with a strong monetary cushion.

- Initial set term of either 5 years or 7 years, with payments calculated over 15 years or 30 years *

- After the preliminary fixed term, rate changes occur no greater than once per year

- Lower initial rate and preliminary month-to-month payments

- Monthly mortgage payments may decrease

Wish to discover more about ARMs and why they might be an excellent suitable for you?

Have a look at this video that covers the basics!

Choose your loan term

Tailor your mortgage to your needs with our flexible loan terms on a 5/1 ARM or 7/1 ARM. These options include a preliminary set term of either 5 years or 7 years, with payments determined over 15 years or 30 years. Choose a shorter loan term to save thousands in interest or a longer loan term for lower regular monthly payments.

Mortgage loan producer and servicer info

- Mortgage loan producer details Mortgage loan begetter information The Secure and Fair Enforcement for Mortgage Licensing Act (SAFE Act) requires cooperative credit union mortgage loan producers and their using institutions, as well as employees who function as mortgage loan originators, to sign up with the Nationwide Mortgage Licensing System & Registry (NMLS), obtain a special identifier, and maintain their registration following the requirements of the SAFE Act.

University Credit Union's registration is NMLS # 409731, and our private pioneers' names and registrations are as follows:

- Merisa Gates - NMLS ID # 188870.

- Estela Nagahashi - NMLS ID # 1699957.

- Miguel Olivares - NMLS ID # 2068660.

- Michelle Pacheco - NMLS ID # 662822.

- Britini Pender - NMLS ID # 694308.

- Sheri Sicka - NMLS ID # 809498.

- Elizabeth Torres - NMLS ID # 1757889.

- David L. Tuyo II - NMLS ID # 1152000.

Under the SAFE Act, consumers can access details concerning mortgage loan originators at no charge by means of www.nmlsconsumeraccess.org.

Ask for information associated to or resolution of a mistake or errors in connection with an existing mortgage loan should be made in composing via the U.S. mail to:

University Credit Union/TruHome.
Member Service Department.
9601 Legler Rd
. Lenexa, KS 66219

Mortgage payments may be sent out through U.S. mail to:

University Credit Union/TruHome.
PO Box 219958.
Kansas City, MO 64121-9958

Contact TruHome by phone during service hours at:

855.699.5946.
5 am - 6 pm PST Monday-Friday, 6 am - 11 am PST Saturday

Mortgage choices from UCU

Fixed-rate mortgages

Refinance from a variable to a fixed rate of interest to take pleasure in predictable month-to-month mortgage payments.

- What is a UCU adjustable-rate mortgage? What is a UCU adjustable-rate mortgage? An adjustable-rate mortgage (ARM), likewise called a variable-rate mortgage or hybrid ARM, is a mortgage with an interest rate that adjusts in time based on the market. ARMs usually have a lower initial rate of interest than fixed-rate mortgages, so an ARM is a money-saving option if you desire the normally lowest possible mortgage rate from the start. Learn more

- Who would benefit most from an ARM? Who would benefit most from an ARM? An ARM is a fantastic alternative for short-term homebuyers, buyers expecting income growth, investors, those who can manage threat, newbie homebuyers, or people with a strong monetary cushion. Because you will get a lower initial rate for the fixed period, an ARM is perfect if you're preparing to sell before that period is up.

Short-term Homebuyers: ARMs provide lower preliminary expenses, suitable for those preparing to offer or re-finance quickly.

Buyers Expecting Income Growth: ARMs can be advantageous if earnings rises significantly, balancing out possible rate increases.

Investors: ARMs can possibly increase rental earnings or residential or commercial property gratitude due to lower initial expenses.

Risk-Tolerant Borrowers: ARMs use the capacity for considerable cost savings if interest rates remain low or decline.

First-Time Homebuyers: ARMs can make homeownership more available by lowering the preliminary financial obstacle.

Financially Secure Borrowers: A strong monetary cushion helps alleviate the threat of potential payment boosts.


To receive an ARM, you'll usually require the following:

- A great credit rating (the specific score differs by lender).

- Proof of income to show you can handle month-to-month payments, even if the rate changes.

- An affordable debt-to-income (DTI) ratio to show your capability to manage existing and new financial obligation.

- A down payment (often at least 5-10%, depending on the loan terms).

- Documentation like income tax return, pay stubs, and banking statements.


Qualifying for an ARM can sometimes be much easier than a fixed-rate mortgage because lower initial rates of interest imply lower initial monthly payments, making your debt-to-income ratio more favorable. Also, there can be more flexible requirements for qualification due to the lower initial rate. However, loan providers might wish to guarantee you can still pay for payments if rates increase, so good credit and steady earnings are crucial.

An ARM typically features a lower initial interest rate than that of a comparable fixed-rate mortgage, offering you lower regular monthly payments - at least for the loan's fixed-rate period.

The numbers in an ARM structure describe the initial fixed-rate duration and the modification period.

First number: Represents the number of years throughout which the interest rate remains set.

- Example: In a 7/1 ARM, the rate of interest is fixed for the very first 7 years.


Second number: Represents the frequency at which the rates of interest can change after the initial fixed-rate duration.

- Example: In a 7/1 ARM, the rates of interest can adjust annually (when every year) after the seven-year set duration.


In simpler terms:

7/1 ARM: Fixed rate for 7 years, then adjusts every year.

5/1 ARM: Fixed rate for 5 years, then adjusts each year.


This numbering structure of an ARM helps you understand the length of time you'll have a stable rate of interest and how often it can alter afterward.

Making an application for an adjustable -rate mortgage at UCU is easy. Our online application website is developed to walk you through the procedure and help you submit all the essential files. Start your mortgage application today. Apply now

Choosing between an ARM and a fixed-rate mortgage depends upon your monetary goals and plans:

Consider an ARM if:

- You plan to offer or refinance before the adjustable period starts.

- You want lower initial payments and can manage prospective future rate increases.

- You expect your income to increase in the coming years.

Consider a Fixed-Rate Mortgage if:

- You prefer foreseeable month-to-month payments for the life of the loan.

- You prepare to remain in your home long-term.

- You want protection from interest rate fluctuations.

If you're not sure, speak with a UCU expert who can assist you examine your options based on your financial situation.

How much home you can afford depends on several aspects. Your down payment can differ from 0% to 20% or more, and your debt-to-income ratio will impact your accepted mortgage amount. Calculate your costs and increase your homebuying understanding with our practical ideas and tools. Learn more

After the preliminary fixed duration is over, your rate might get used to the marketplace. If prevailing market interest rates have actually gone down at the time your ARM resets, your month-to-month payment will also fall, or vice versa. If your rate does go up, there is constantly a chance to refinance. Discover more

* UCU ARM pricing based on 1 year Constant Maturity Treasury (CMT). Rates subject to alter. All loans are readily available for purchase or refinance of primary home, 2nd home, financial investment residential or commercial property, single family, one-to-four-unit homes, planned unit developments, condos and townhomes. Some limitations might apply. Loans released based on credit review.