Definitions for **"initial interest rate"**

The initial interest rate on an adjustable rate mortgage, usually for the first year. also called start rate.

same as start rate

MP] The interest rate that is fixed for some specified number of months or years at the beginning of the life or an ARM.

Typically one to three percentage points lower than that of most fixed-rate mortgages. Lower interest rates also make ARMs somewhat easier to qualify for. The initial interest rate is tied to certain economic indicators that dictate in part what the monthly payments will be.

The rate of interest used at the beginning of an adjustable rate loan (also know as the start rate).

The interest rate of the mortgage at the time of closing. This rate will change for an adjustable-rate mortgage (ARM). Also known as the "start rate" or "teaser."

The interest rate charged for the initial period of an Adjustable Rate Mortgage (before the first interest rate adjustment).

The starting interest rate on an adjustable-rate mortgage loan, which is often below market ARM rates. The intent of a low initial rate is to assist homebuyers that may not otherwise qualify for a mortgage loan.

The original interest rate for an adjustable-rate mortgage (ARM). Sometimes known as the "start rate."

This refers to the original interest rate of the mortgage at the time of closing. This rate changes for an adjustable-rate mortgage (ARM). It's also known as "start rate" or "teaser."

The first interest rate charged on an ARM.

the starting rate of an adjustable rate mortgage (ARM). This rate stays fixed for a short time then adjusts according to the terms and adjustment schedule negotiated by the borrower and lender.

The starting percentage a borrower pays for the use of money on an adjustable-rate mortgage.

The rate chargeable on a mortgage on the day it is signed.

The rate of interest set by the insurance company each policy year based on the prevailing market rates.

The beginning interest rate at the start of an adjustable rate mortgage (ARM). It may be lower than the fully indexed rate or "going market rate" and it will remain constant until it is adjusted up or down on the adjustment date.

The interest rate you pay when you first take out the mortgage loan. On some types of mortgages this rate may only be for the first month, but on a fixed rate mortgage it stays the same for the life of the loan.

The interest rate that is fixed for some specified number of months at the beginning of the life of a mortgage. On an ARM, the initial rate is sometimes referred to as a teaser because it is below the fully indexed interest rate.

The introductory interest rate on an adjustable-rate mortgage (ARM), which typically changes at a predetermined time.

Introductory interest rate on an ARM. Often offered for 1, 2, 3, or 5 years.

The initial rate quoted usually is a lower introductory rate, sometimes called a teaser or discount rate. This lower rate lasts only until the first adjustment, after which you will be charged the fully indexed rate.

The initial interest rate is the rate that is used at the start of an adjustable rate loan (ARM).

The original interest rate used for an ARM. Sometimes called a "start" rate.

in the HECM Reverse Mortgage program, the interest rate that is first charged on the loan as of the closing; it equals the one-year rate for U.S. Treasury Securities, plus a margin.

An initial interest rate, or teaser rate, is a low rate that lasts only until the first adjustment. After that, a person will be charged the fully indexed rate.

Introductory interest rate on an ARM. Usually offered for a set period of time, 3, 5, 7 or 10 years.

The original interest rate on an adjustable mortgage.

The original, starting interest rate at the time of closing. This rate can change in the future in an adjustable-rate mortgage.

For a reverse mortgage, the interest rate charged on the loan closing, and equal to the 1-year rate for U.S. Treasury securities plus a margin amount.

The introductory rate on an ARM, which usually changes at the first rate adjustment.

See Applied interest rate.

The introductory interest rate on a loan; signals that there may be rate adjustments later in the loan.

Starting rate of an adjustable rate loan. Back

The starting interest rate for an adjustable-rate mortgage (ARM ) loan or variable-rate home equity line of credit. At the end of the effective period for the initial rate, the interest rate adjusts periodically during the life of the loan based on changes in a specified financial index. Sometimes known as "start rate" or "intro rate". See " Teaser Rate ."

The starting interest rate of an adjustable rate mortgage (ARM). The initial interest rate on an ARM, sometimes called a teaser rate, is fixed for a certain period then adjusts to reflect overall market rates. The lender starts you off with a very low initial rate, planning that interest rates will rise in the future and adjust to market rates. Fixed rate loans, on the other hand always have the same interest rate for the life a loan, and the rate is usually higher than an ARM's initial interest rate.

Original interest rate on an adjustable mortgage. Sometimes the initial "teaser" rate is below the current market rate.

The first year's interest rate of a 1-year adjustable rate mortgage (ARM) or the rate for the first period of other ARMs or non-fixed products.

The initial interest rate is the rate you pay when you first get your loan. On an ARM, this rate may be for 5 years (5/1 ARM) or only a month.

The loan's interest rate at the beginning of the loan's term. This rate will change in an adjustable rate mortgage (ARM).

The interest rate charged for the first six or 12 months of an adjustable rate mortgage (before the first interest rate adjustment)

The original, starting interest rate of a loan at the time of closing. This rate changes for an adjustable-rate mortgage (ARM). Sometimes called a teaser rate.