If you’re like a lot of people, you’re worried that once you get a mortgage, it will run your life. It doesn’t have to be that way.

Option 1: Minimum Payment  (Keep Payments Manageable)

The minimum monthly payment, Option 1 gives you more cash now and keeps your monthly payments manageable.  Generally, this payment amount changes annually and is calculated using the initial interest rate for the first 12 months.  The minimum monthly payment is usually recalculated annually thereafter, based on the outstanding principal balance, remaining loan term and prevailing interest rate. With this option you can defer some of the interest to the back of the loan in order to keep your payments at their lowest. If you don't want the interest deferred to the back of loan, then pay it up front by making the interest only payment which is Option 2 below. At least you have that option of making that low minimum payment. Jay Robins will provide you with complete details for your specific loan.

The Payment Option ARM's 7.5% payment cap limits how much the Option 1 payment can increase or decrease each year, except for every fifth year (beginning in the 10th year on certain programs), when the cap does not apply.*

Option 2: Interest-Only Payment  (Pays all the interest)

At those times when the minimum monthly payment is not sufficient to pay the monthly interest due, you can avoid deferred interest by paying the minimum monthly payment plus any additional interest accrued during the month (same as interest-only payment).  Your payments remain manageable, with no change in your principal balance for that month.

Option 3: 30 year fully-amortized payment  (Pays principal too)

This is the fully amortized payment.  It is calculated each month based on the prior month's interest rate, loan balance and remaining loan term.

When you choose this option, you pay all the interest due and reduce your principal to pay off your loan on schedule, in 30 years

Option 4: 15 year fully-amortized payment  (Build Quick Equity) 

For faster equity build-up, quicker payoff and substantial interest savings, choose the largest monthly payment option.  Option 4 is calculated to amortize your loan based on a 15-year term from the first payment due date.  

Every single month, you will receive a mortgage statement. You will have the option to send in any of the 4 different payment options listed above. If you want to send in the minimum payment which is the cheapest payment, then do it. If you want to pay down principle the next month, send in the 30 year payment. You decide which option you want to send in for that month. You can change your mind and send in a different option any month you choose for the first 10 years. After that the loan will automatically amortize itself for the remaining 20 years. What are the odds of having this mortgage more then 5 or 10 years. If you know you will have the same mortgage for more then 10 years then you should probably do a 15, 20, or 30 fixed rate mortgage. If you fall into any of the categories below, then you should consider doing this mortgage program. 

• You’re self-employed or work on commission
• You have consumer debt (credit card debt, auto loans, etc)   
• You're credit is less then perfect
• You like to invest your spare cash  
• Your a real estate investor
• You want to manage your tax write-off  
• You simply want to lower your current mortgage payment
• You plan to sell or rent out your property in a few years
• Your not sure what you'll be doing or where you'll be doing it. So for now it makes mathematical sense  sense

Call Jay directly to see what your payments will be on The Payment Option ARM. (561) 852-6111 or fill out a quick application and Jay will provide the numbers through email. Click here for the quick application >>