Conforming Fixed and Conforming ARM Home Loans

Conforming mortgages are traditional home loans with limits that fall within the guidelines of Government-Sponsored Enterprises (GSEs) like Freddie Mac and Fannie Mae.

There are two types of conforming home loans – conforming fixed-rate loans and conforming adjustable-rate loans.

What is a conforming fixed-rate mortgage (FRM)?

A conforming fixed-rate mortgage (FRM) is a home loan with a monthly payment that stays the same for the life of the mortgage.

Conforming fixed-rate mortgages are an attractive option for buyers that prefer to maintain a steady monthly budget.

What is a conforming adjustable-rate mortgage (ARM)?

A conforming adjustable-rate mortgage (ARM) is a home loan with an interest rate that fluctuates with the market. The interest rate is partly what determines your monthly payment.

One benefit of ARM home loans is that you may end up with a lower monthly payment if interest rates drop in the marketplace.

For more information on conforming fixed-rate or conforming adjustable-rate mortgages, contact one of our knowledgeable St. Louis home loan officers.