More information of Adjustable-Rate Mortgage (ARM)
Adjustable rate mortgages are not as popular as fixed rate mortgages in the U.S. today, but they are still very popular.
Ally Bank allows you to contract an adjustable mortgage through the Internet, being one of the most attractive online entities right now, with very interesting products such as its high profitability checking and savings accounts.
What options does this variable mortgage offer?
In the United States, Adjustable-Rate Mortgage (ARM) have the particularity of having a first term with a fixed rate that, in the case of Ally Bank, can be 5, 7 or 10 years. Depending on the option chosen, the interest rate of the fixed and variable part will change.
After the first fixed term you will have to finish paying back the money with an adjustable rate that will change following the SOFR, to which a differential applied by Ally Bank will be added.
How to apply for the Ally Bank variable mortgage?
To sign up for this mortgage you can apply from the bank's website or from its smartphone app. You will not have to send any documentation for the preliminary analysis phase.
The bank will perform a soft inquiry of your credit score, which will not affect your score, and will answer you if you are eligible to be able to receive a mortgage loan. If so and you go ahead, the next step will be the online submission of all the necessary documentation, such as identification, receipts, payslips, etc.
You will need to open a checking account with Ally Bank, with no fees or requirements of any kind, from which the monthly mortgage payments will be debited.
Español: Hipoteca variable de Ally Bank