7/1 Interest Only ARM
*New* 7/1 Interest Only ARM!
With an interest-only home loan from Logix, monthly mortgage payments are lower because you pay only the interest owed on your loan for 10 years (lucky you)! Lower monthly payments mean qualified borrowers can gain more control over their cashflow & pay toward their principal balance when it is convenient. This can be an ideal option for mortgage shoppers with fluctuating income, who will be in their house a short period of time, or who are just looking to take advantage of lower payments.
Interest Only Benefits
Many borrowers find several advantages with an interest only mortgage including:
- Lower monthly mortgage payment
- Additional cash available for other investments or to pay toward higher-interest debts
- More control over cash flow
Interest Only Period
During the first 10 years of the loan, monthly payments are applied only toward the interest & will not reduce the principal balance of the loan. After the interest-only period ends, the regular monthly payments will consist of both principal and interest.
Qualifying Rate
Borrower must qualify using the monthly principal and interest based on the greater of the fully indexed rate or note rate. The fully indexed rate is defined as the index value plus the applicable margin.
- Loan amounts up to $2,000,000
- The interest rate will not change for the first 7 years, then adjusts annually thereafter.
Remember, Logix offers:
- Satisfaction Guarantee - we'll do it right or pay you $500+
- 25 Day Closing Guarantee++
Additional Resources
- Video: How to buy a home if you don't have 20% to put down.
- 5 Creative Ways to come up with a down payment
The 7/1 Interest-Only ARM is a 30-year Adjustable Rate Mortgage loan that permits interest-only payments for the first 10 years, with required principal and interest monthly payments fully amortized over the remaining 20 years of the loan term, for the purchase and limited cash-out refinancing of owner-occupied single family, condominium, and PUD primary residence properties up to a maximum 70% Loan to Value (LTV). Interest-only payments during the first 10 years do not reduce the principal balance on the loan. The start rate for the 7/1 ARM is fixed for the first 7 years, thereafter, the rate can adjust every 12 months. ARMs are variable-rate loans and the Annual Percentage Rate (APR) can increase after consummation. If the APR increases, your loan payment will increase.
Click here for current Adjustable Rate Program rates and payment examples.
+ $500 Satisfaction Guarantee. We’ll do it right or we’ll credit $500 to your savings account. Satisfaction Guarantee applies to 1st trust deed mortgage loans and must be requested within 30 days of loan funding.
++ Logix 25-Day Loan Closing Guarantee. For 1st mortgage, purchases only, Logix guarantees to close your loan in 25 calendar days unless prohibited by Federal regulation, and provided Logix has received your (1) completed loan application; (2) all requested documents, (3) you have electronically consented @ Logixmortgage.com online mortgage loan application portal at the time of application through loan closing to receive all loan documents and disclosures electronically (Upon request, paper copies available at no additional charge.), and (4) all pre-conditions have been satisfied at least 5 calendar days prior to the scheduled closing date. If all required conditions are met and your loan fails to close on time due to a delay by Logix, you will receive a credit towards closing costs up to $2,000 at loan closing. Logix 25-Day Loan Closing Guarantee may not be combined with other offers, including our $500 Satisfaction Guarantee. Not available on "no cost" loans.
Logix mortgage loans are available in the following states: AZ, CA, DC, ME, MD, MA NH, NV, and VA.
For a small monthly premium, you can ensure your mortgage is paid off should something happen to you. Get a free Term Life Insurance quote now.
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