Adjustable Rate Mortgage Calculator

There are many different types of ARM mortgages. Typically, the majority of terms are based off 30 year loans. Usually every ARM has a fixed period that can last 1, 3, or even 10 years in some cases. After the fixed period is over, then the interest rate on the mortgage is free to adjust. The majority of adjustable rate mortgages will adjust or reset every 12 months. This adjustable rate mortgage calculator can show you examples of how much payments will change. 

Principle Balance

This is the amount of money you will owe on the mortgage. This number does not include the downpayment you put down, just the number that you owe the lender. 

Initial Interest Rate

This is the initial rate on your ARM mortgage. Please remember that interest rates on adjustable rate mortgages can change after the teaser period is over. 

Length of Loan

This is the total number in years of your loan. Most mortgages are either 30 or 15 years. Our calculator allows you to select different terms.

Adjustment Rate

After the teaser period has ended, your mortgage rate can adjust. This new number will represent your new interest rate. Remember in an ARM, your rate could go up or down. 

Months Before Adjustment 

ARM mortgages will adjust after the teaser period is over. You can select options here in years.  

Periods Between Adjustments 

After the initial adjustment, most ARM mortgages will then adjust every 12 months, or once every year. 

Remember that mortgage rates can change quickly. Borrowers who are interested in adjustable-rate mortgages should understand the risk in the loan. 


Frequently Asked Questions
How accurate is the zillow's mortgage payment calculator?

Principal and interest for a fixed-rate mortgage is just basic math. Assuming that Zillow has the correct formula. The mortgage calculator is 100% correct.

When you take into account property taxes, Zillow may be using an average from the stats they currently have. But this is just a rough estimate. Don't expect this to be 100% accurate.

Is there a mortgage payment calculator that includes tax savings?

The question you need to be asking it is can you deduct property taxes and interest rates from your tax return. Yes you can. But new laws have been enacted that can cap both of these. You will want to contact a tax professional that can answer these questions based upon your needs.

Is there a calculator to show how a mortgage will change my taxes?

The factors in a mortgage that may change your taxes are the interest and property taxes that may be deductible. These are capped however. Recent laws have been enacted that will limit how much you can deduct.

How does a 10 1 ARM mortgage rate?

You pay a fixed rate for 10 years. Your mortgage payment literally won't change for 10 full years. After that, the adjustment periods will then occur every year. In other words, your rate is free to adjust once a year until you pay off the home or sell it.