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More people seeking adjustable rate mortgages

Posted at 10:05 AM, Jun 23, 2022
and last updated 2022-06-23 13:05:21-04

(KERO) — As interest rates surge more and more people are looking into adjustable-rate mortgages.

Mortgage rates are now nearly double what they were a year ago.

According to the Mortgage Bankers Association, the share of ARM applications jumped to more than 10 percent of total applications.

Adjustable-rate mortgages offer lower interest rates but are considered riskier because the rates can go up or down.

However, experts say qualifying for an ARM is now harder than it was in the years before the 2008 housing crash.