Use this ARM vs fixed rate mortgage calculator to compare an adjustable-rate mortgage against a 30-year fixed-rate loan and see exactly when each one wins. Model the introductory period savings, the post-adjustment payment risk, and the break-even point so you can pick the right loan for how long you plan to stay in the home. Pair it with our monthly payment calculator or the 15 vs 30-year comparison.
ARMs typically start with a lower interest rate, which means a noticeably lower monthly payment during the first few years compared to a fixed-rate mortgage
Once the initial period ends, the rate adjusts. If rates in the market rise, your payment will increase as well. You are esentially choosing lower payments now in exchange for loss predictability later.
If you know you'll sell or refinance before hitting that break-even mark, an ARM is usuauly the better financial move on paper. See our amortization schedule for a deeper view.
Disclaimer: This tool keeps things simple by assuming the ARM rate stays steady after the initial fixed period. In reality, rates can change over time, usually adjusting once per year, and are limited by specific caps. These estimates also dont facto in taxes, insurance, or mortgage insurance, which will affect your total payment
Take a look at some of the most common loan options and find the one that fits your situation best — from a conventional loan to a jumbo loan for higher-priced homes.
Best for good credit
Great for first-time buyers
For veterans & military
For higher-priced homes
Still deciding if an ARM is the right move? Speak to a specialist