UMass Five and MAM Logos

It’s time to give Adjustable Rate Mortgages a

second look.

house illustration with percentage symbol and arrow

If you’re in the market to buy a home, whether it’s your first, third, or fifth, there are many good reasons to consider an Adjustable Rate Mortgage, or ARM.

However, many potential homebuyers overlook the benefits they could enjoy by financing with an ARM because of the misconception that they are risky and dangerous.

There are three major reasons why ARMs shouldn’t be avoided by informed and qualified homebuyers:

First, these are not your older brother’s ARMs.

The ARMs issued prior to the financial crisis in the early 2000s were risky and dangerous. These loans were approved without thorough qualification and underwriting. They were knowingly issued to people who could not repay them.

Today, ARMs require similar qualification conditions to more conventional, fixed-rate mortgages.

Second, who you choose as your lender matters.

As a credit union, we succeed only when our members are also financially successful. We’d never encourage you to take a loan you’re not a good candidate for or makes you feel uneasy in any way.

Our job is to ensure every potential homeowner finds the perfect loan to match the house they’ll call home. If an ARM makes sense, great! If not, that’s fine with us.

Finally, the market has changed considerably.
Home values and rent values continue to rise and we are seeing 10 and 15-year high rates on conventional loans.To see historical mortgage interest rates,click here.Buying a home in this market is a challenge, but still a great investment, and a great hedge against inflation.​

Considering an ARM could be a good financial strategy, especially if you’re:

  • Planning on moving in 10 years or less
  • Expecting a financial windfall or significant increase in income
  • Confident rates will decrease

Today's Mortgage Rates

If you’re curious if an ARM might be a viable option for you, we’d love to discuss it in person.

Join us for Q&ARM night!

Our virtual information session will be hosted live on February 21, 2023 at 5:30pm ET.

Have all your questions about adjustable rate mortgages answered by lending professionals  from credit unions around the country.

Register to join us, submit questions, and get invited to the session. The session will also be recorded for those who cannot join us live.

This is not an offer for extension of credit nor a commitment to lend. Programs, rates, terms and conditions are subject to change without notice. Certain restrictions may apply. All approvals subject to underwriting guidelines. Not all applicants will qualify. Member Advantage Mortgage, LLC is an Equal Housing Lender. We do business in accordance with the Federal Fair Housing Law and the Equal Credit Opportunity Act.

Member Advantage Mortgage LLC (MAM) is a subsidiary of CUSO Development Company (CDC), which is owned and operated by credit unions, including UMass Five College Federal Credit Union, for the benefit of credit unions and their members. As such UMass Five College Federal Credit Union has an affiliated business arrangement with MAM. Loans originated for UMass Five College Federal Credit Union members benefit both MAM and UMass Five College Federal Credit Union.

UMassFive College Federal Credit Union, NMLS # 460131, Member Advantage Mortgage, LLC NMLS #1557. Alabama Consumer Credit License # 22717. Arkansas Combination Mortgage Banker-Broker-Servicer License # 104160. Colorado, Regulated by the Division of Real Estate, Mortgage Company Registration MLS ID # 1557; check the license status of your mortgage loan originator at Connecticut Mortgage Lender License # ML-1557. District of Columbia Mortgage Lender License # MLB1557. Delaware Lender License # 011515. Florida Mortgage Lender License # MLD781. Georgia Residential Mortgage Licensee, License # 36659. Louisiana Residential Mortgage Lending License MLS ID # 1557. Massachusetts Mortgage Lender License # ML1557. Maryland Mortgage Lender License # 06-19371. Michigan 1st Mortgage Broker/Lender/Servicer Registrant # FRO20440. Licensed by the North Carolina Commissioner of Banks, Mortgage Lender License #167098. Licensed by the New Hampshire Banking Department. New Hampshire Mortgage Banker License # 14242-MB. Licensed by the New Jersey Department of Banking and Insurance. New Jersey Residential Mortgage Lender License MLS ID # 1557. Licensed by Pennsylvania Department of Banking. Pennsylvania Mortgage Lender License # 33868. Rhode Island Licensed Lender, License # 20112778LL. South Carolina Mortgage Lender License #1557. Texas Mortgage Banker Registration MLS ID # 1557. Licensed by the Virginia State Corporation Commission, Virginia Lender License # MC-5045, Virginia Broker License #MC-5045. NMLS ID # 1557 (visit for complete licensing information).