Two-step ARM is an adjustable rate mortgage with just two interest rates. One for the first ________ years of the loan and the higher one for the remaining term of the loan:

The correct answer is C. 5 to 7 years. See the full explanation below for the reasoning.

Investment Management

Question

Options

A5 years
B6 years
C5 to 7 years
D3 years

How the community answered

(53 responses)

A
4% (2)
B
13% (7)
C
77% (41)
D
6% (3)

Topics

#two-step ARM#adjustable rate mortgage#interest rate periods

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