Adjustable Rate Loans in Charlotte, NC - Lower Initial Payments for Buyers & Investors
What Is an Adjustable Rate Loan?
An adjustable rate mortgage (ARM) is a flexible home loan option that starts with a low fixed interest rate for an initial term – typically 5, 7, or 10 years – then adjusts periodically based on market rates. ARMs are ideal for homebuyers and real estate investors looking to lower their initial monthly payments, maximize short-term cash flow, or refinance before the rate changes.
Is an Adjustable Rate Loan Right for You?
On Point adjustable rate loans are designed for:
• Buyers looking for lower initial monthly mortgage payments
• Real estate investors planning to flip or refinance within 3–10 years
• Homebuyers expecting income growth or career advancement
• Borrowers who plan to sell, relocate, or upgrade in the near future
• Clients who want to maximize early cash flow for renovations or investments
• First-time buyers seeking more affordable entry into the housing market
Pros & Cons of Adjustable Rate Mortgages (ARMs)
Understand the Benefits and Risks for Real Estate Investors and Strategic Buyers
- Lower Initial Interest Rates
- Reduced Monthly Payments (Early Years)
- Great for Short-Term Investors or Flippers
- Potential to Qualify for a Higher Loan Amount
- Good Fit for Buyers Expecting Income Growth
- Flexibility in Loan Terms (5/1, 7/1, 10/1)
- Interest Rates May Rise Over Time
- Uncertainty in Long-Term Payment Amounts
- Not Ideal for Long-Term Homeowners
- Potential for Payment Shock After Fixed Period
- More Complex Than Fixed-Rate Loans
- Less Predictable in Rising Rate Markets
Why Choose On Point Home Loans for Adjustable Rate Mortgages?
Local Lending Experts with Market Insight
Our team understands regional real estate trends, helping you secure ARM terms that align with your short- and long-term goals.
Lower Initial Monthly Payments
We structure ARMs to reduce early payment costs—ideal for maximizing cash flow during the fixed-rate period.
Tailored Loan Strategies for Every Borrower
Whether you’re investing, relocating, or buying your first home, we customize your ARM to support your unique financial timeline.
Fast Pre-Approvals and 7–14 Day Closings
Get pre-approved in 24 hours and close fast, so you can act on opportunities without delay.
Transparent Terms, No Junk Fees
What you see is what you pay-our ARM products include clear terms with no hidden costs or prepayment penalties.
Flexible ARM Options up to $1M
Choose from 5/1, 7/1, and 10/1 structures with competitive rates—funding available up to $1 million.
Adjustable Rate Mortgages Up to $1M - Low Intro Rates, Fast Approvals
Get more buying power with lower initial payments. On Point’s adjustable rate loans are ideal for strategic buyers, short-term owners, and investors who want flexibility and fast closings.
• Lock in a low rate for 5, 7, or 10 years
• Finance up to $1M with flexible ARM structures (5/1, 7/1, 10/1)
• Pre-approval in as little as 24 hours
• Close your ARM loan in as little as 7–14 business days
Adjustable Rate Mortgage (ARM) FAQs
An ARM is a home loan with a low fixed interest rate for the first 5, 7, or 10 years, then adjusts annually based on market conditions. It’s designed to offer lower initial payments and short-term flexibility.
ARMs are ideal for buyers planning to move, refinance, or sell within a few years, as well as investors looking to lower their upfront monthly payments.
After the fixed period ends, your rate typically adjusts once a year based on a financial index and margin set by your lender.
If market rates rise, your monthly payment may increase after the fixed period. However, rate caps limit how much it can rise each year and over the life of the loan.
Yes – many borrowers refinance before the adjustment period to lock in a new fixed rate or better terms, especially if property values have increased.
On Point offers pre-approvals in 24 hours and can close adjustable rate loans in 7-14 business days, giving you the speed and flexibility to act on opportunities quickly.
