How long is the interest-only option on conforming products?
The interest-only option for adjustable rate mortgages (ARMs) is the equal to the length of the ARM’s fixed period. For fixed-rate loans, the length of the option is generally 10 or 15 years. Refer to the loan’s guidelines for specifics. Guidelines can be found with DirectWare using the following clickpath: Login >> “Department” >> “Loan Choices”>> “Tools” >> “Program Guidelines” >> Enter the search criteria OR enter a loan number and press the “Find” button >> Click on “Print” next to the loan program for which you want guidelines >> A pdf version of the guidelines will open >> Type “Control F” to bring up a search box – simply type the words you want to search for such as “seller” – and the engine will take you to that word(2) in the guide.
