Adjustable Rate Mortgages (ARMs)
Lower initial rates. Flexible options. Built for your future plans.
What are the Benefits
Lower Starting Payment
Initial lower rate
Flexible Timeline
Good for short-term plans
Balanced Risk
Rate caps for protection
What is an Adjustable Rate Mortgage?
An Adjustable Rate Mortgage (ARM) is a home loan where your interest rate can change over time.
Unlike a fixed-rate mortgage, where your rate stays the same for the life of the loan, an ARM starts with a lower, fixed interest rate for an initial period. After that, your rate adjusts periodically based on market conditions.
Example:
A 5/6 ARM means:
• Fixed rate for the first 5 years
• Then adjusts every 6 months after that
-
1
Fixed Intro Period
You start with a lower, fixed rate for a set number of years (like 5, 7, or 10).
-
2
Rate Adjustments Begin
After the fixed period ends, your rate adjusts based on a market index (like SOFR), plus a margin set by the lender.
-
3
Built-In Protections
Your loan includes rate caps, which limit how much your rate can increase.
| Feature | Adjustable Rate Mortgage (ARM) | Fixed-Rate Mortgage |
|---|---|---|
|
Interest Rate |
Starts lower, then adjusts over time |
Stays the same for the life of the loan |
|
Initial Monthly Payment |
Typically lower |
Typically higher |
|
Payment Stability |
Can change after fixed period |
Fully predictable |
|
Rate Changes |
Adjusts based on market conditions (with limits) |
No changes |
|
Flexibility |
High (good for moving/refinancing) |
Lower |
|
Risk Level |
Moderate (rate may increase later) |
Low (stable payments) |
|
Rate Protection |
Rate caps limit increases |
Not needed (rate never changes) |
Why Choose an ARM?
An ARM can be a smart option depending on your goals.
You might consider an ARM if you:
- Plan to move or refinance within a few years
- Want a lower starting monthly payment
- Prefer more flexibility upfront
- Are comfortable with potential rate changes later
Things to Consider
Rates can change
After the fixed period, your payment may increase if rates go up
Not for everyone
Best for members who understand and are comfortable with some variability
Long-term vs short-term
If you plan to stay in your home long-term, a fixed-rate mortgage may offer more stability
Current Rates
| Account | Term | Interest Rate | APR | Principal and Interest
Payment for $250,000 Loan |
|---|---|---|---|---|
|
Conventional Fixed Rate |
15 yrs. |
5.750% |
6.098% |
$2,076.03 |
|
Conventional Fixed Rate |
20 yrs. |
6.250% |
6.450% |
$1,827.32 |
|
Conventional Fixed Rate |
30 yrs. |
6.500% |
6.653% |
$1,580.17 |
|
3% Down Payment Mortgage* |
30 yrs. |
6.625% |
6.779% |
$1,600.78 |
|
Fast Track Mortgage* |
10 yrs. |
6.000% |
6.375% |
$2,775.51 |
|
Fixed Rate Second
|
15 yrs. |
8.000% – 9.375% |
8.132% – 9.452% |
$1,433.48 – $1,555.04 |
|
3/6 Adjustable Rate Mortgage** |
Fixed for the first 3 years, adjusts every 6 months for the remaining balance of the loan. |
5.375% |
5.518% |
$1,399.93 |
|
5/6 Adjustable Rate Mortgage |
Fixed for the first 5 years, adjusts every 6 months for the remaining balance of the loan. |
5.500% |
5.644% |
$1,419.47 |
|
7/6 Adjustable Rate Mortgage |
Fixed for the first 7 years, adjusts every 6 months for the remaining balance of the loan. |
5.625% |
5.770% |
$1,439.14 |
|
10/6 Adjustable Rate Mortgage |
Fixed for the first 10 years, adjusts every 6 months for the remaining balance of the loan. |
5.8756% |
6.023% |
$1,478.84 |
Rates effective as of: March 27, 2026
All loans are subject to credit and collateral approval, as well as income verification and employment verification. APR is annual percentage rate. APR includes estimated borrower-paid finance charges, such as prepaid interest, a processing fee, and certain lender-required third-party services (e.g., flood certification or tax service). Finance charges and APR will vary based on individual loan terms. Home loan rates are subject to change at any time, without notice. Payment examples above are based on a $250,000 loan. Payment examples are principal and interest only. Credit, taxes, insurance, and other costs may increase the payment amount. Properties must be in Colorado. Down payment example: 20% down of $250,000 is $50,000. All mortgages are subject to a 1% origination fee.
Please consult a Mortgage Loan Officer for complete details.
*Rates are subject to credit and loan to value. All mortgages are subject to a 1% origination fee. 3% down on a $250,000 mortgage is equal to $7,500. For complete mortgage rate details, please contact our Mortgage Lending Department by calling 303-573-1170, or contacting us.
** The annual percentage rate for adjustable rate mortgages may vary after the account is opened.
Rates as low as
Homeowners Insurance: 100
Mortgage Insurance: 167
First Mortgages Disclosures
Fast Track: With approved credit, income verification, and employment verification. Must be owner occupied residence. Escrow required. Loan-to-Value (LTV) of 80% or less. No closing costs on refinances up to $250,000. Borrower may be responsible for appraisal fee if collateral value cannot be established.
Advanced Options
Property Tax Rate
The tax that you are required to pay as a property owner levied by the city or municipality. Lookup your county rate or state average rate for a more accurate calculation.
Homeowners Insurance (Monthly)
The standard insurance policy that covers damage to your property and the things you keep in it. The average annual homeowners insurance premium is around $1,200.
HOA Fees (Monthly)
These are dues that are used by a homeowners association toward maintenance of common areas used by all homeowners in a housing development or complex.
Private Mortgage Insurance Rate
The premium for the insurance policy for FHA loans and conventional mortgages if your down payment is less than 20%. PMI typically costs between 0.5% to 1% of the entire loan amount on an annual basis. Only calculated if down payment is less than 20% of mortgage amount.
Disclosure
This calculation represents an estimate. Calculation does not factor credit score. Default input values are estimates.
Rates
Home Loan Rates
| Account | Term | Interest Rate | APR | Principal and Interest
Payment for $250,000 Loan |
|---|---|---|---|---|
|
Conventional Fixed Rate |
15 yrs. |
5.750% |
6.098% |
$2,076.03 |
|
Conventional Fixed Rate |
20 yrs. |
6.250% |
6.450% |
$1,827.32 |
|
Conventional Fixed Rate |
30 yrs. |
6.500% |
6.653% |
$1,580.17 |
|
3% Down Payment Mortgage* |
30 yrs. |
6.625% |
6.779% |
$1,600.78 |
|
Fast Track Mortgage* |
10 yrs. |
6.000% |
6.375% |
$2,775.51 |
|
Fixed Rate Second
|
15 yrs. |
8.000% – 9.375% |
8.132% – 9.452% |
$1,433.48 – $1,555.04 |
|
3/6 Adjustable Rate Mortgage** |
Fixed for the first 3 years, adjusts every 6 months for the remaining balance of the loan. |
5.375% |
5.518% |
$1,399.93 |
|
5/6 Adjustable Rate Mortgage |
Fixed for the first 5 years, adjusts every 6 months for the remaining balance of the loan. |
5.500% |
5.644% |
$1,419.47 |
|
7/6 Adjustable Rate Mortgage |
Fixed for the first 7 years, adjusts every 6 months for the remaining balance of the loan. |
5.625% |
5.770% |
$1,439.14 |
|
10/6 Adjustable Rate Mortgage |
Fixed for the first 10 years, adjusts every 6 months for the remaining balance of the loan. |
5.8756% |
6.023% |
$1,478.84 |
Rates effective as of: March 27, 2026
All loans are subject to credit and collateral approval, as well as income verification and employment verification. APR is annual percentage rate. APR includes estimated borrower-paid finance charges, such as prepaid interest, a processing fee, and certain lender-required third-party services (e.g., flood certification or tax service). Finance charges and APR will vary based on individual loan terms. Home loan rates are subject to change at any time, without notice. Payment examples above are based on a $250,000 loan. Payment examples are principal and interest only. Credit, taxes, insurance, and other costs may increase the payment amount. Properties must be in Colorado. Down payment example: 20% down of $250,000 is $50,000. All mortgages are subject to a 1% origination fee.
Please consult a Mortgage Loan Officer for complete details.
*Rates are subject to credit and loan to value. All mortgages are subject to a 1% origination fee. 3% down on a $250,000 mortgage is equal to $7,500. For complete mortgage rate details, please contact our Mortgage Lending Department by calling 303-573-1170, or contacting us.
** The annual percentage rate for adjustable rate mortgages may vary after the account is opened.
Buying
Refinancing
Sounds good! We’d love to help you refinance with our Fast Track Mortgage.
Start Your Application Today
TruStage Insurance
Save money with member exclusive insurance.
​Are you spending more than you should on insurance? Zing’s TruStage Insurance includes many insurance options that could save you money. Discover how much you could save on auto, property, life, AD&D, or even medical insurance by requesting a quote below.
Get the App
TRUTH IN SAVINGS DISCLOSURE
Except as specifically described, the following disclosures apply to all the accounts.
- Rate Information. The dividend rate, or interest rate, and annual percentage yield on your accounts are set forth on the reverse side. The annual percentage yield is a percentage rate that reflects the total amount of dividends/interest to be paid on an account based on the dividend/interest rate and frequency of compounding for an annual period. For Certificates of Deposit and IRA Certificates of Deposit, the interest rate and annual percentage yield are fixed and will be in effect for the term of the account. The annual percentage yield is based on an assumption that interest will remain on deposit until maturity. A withdrawal will reduce earnings.
- Nature of Dividends. Dividends are paid from current income and available earnings after providing for the required reserves. The dividend rates and annual percentage yields are the prospective rates and yields that the Credit Union anticipates paying for the applicable dividend period.
- Compounding and Crediting. Interest and dividends will be compounded and credited as set forth on the reverse side. The dividend/interest period for each account is also set forth on our Rate and Fee Schedule. The dividend/interest period begins on the first calendar day of the period and ends on the last calendar day of the period.
- Balance Information. The minimum balance required to open each account is set forth. Interest is calculated by the daily balance method which applies a daily periodic rate to the principal in the account each day.
- Accrual of Dividends. Dividends will begin to accrue on cash deposits on the business day you make the deposit to your account. Dividends will begin to accrue on noncash deposits (checks) on the business day you make the deposit to your account. If you close your account before accrued dividends are credited, accrued dividends will not be paid.
- Account Limitations. The account limitations for each account are set forth in our Membership and Account Agreement
- Your account will mature on the maturity date set forth on your account receipt or renewal notice.
- Early Withdrawal Penalties. A penalty may be imposed if you withdraw any of the certificate funds before the maturity date or the renewal date, if this is a renewal account.
- Amount of Penalty. For Certificates of Deposit and IRA Certificates of Deposit the amount of the early withdrawal penalty for your account is 90 days’ interest for a term of 12 months or less, and 180 days’ interest for a term over 12 months.
- How the Penalty Works. The penalty is calculated as a forfeiture of part or all of the interest that have been earned on the account. This penalty applies to earned interest and principal.
- Renewal Policy. Certificate of Deposit accounts will automatically renew for another term upon maturity. You have a grace period of seven days in which to change or withdraw the funds without being charged an early withdrawal penalty.
- Exception to Early Withdrawal Penalties. At our option, we may redeem the account before maturity without imposing an early withdrawal penalty under the following circumstances:
- When an account owner dies
- or is determined legally incompetent by a court
- or other body of competent jurisdiction.
- Nontransferable / Nonnegotiable. Your account is nontransferable and nonnegotiable. The funds in your account may not be pledged to secure any obligation of an owner except obligations with the Credit Union.
- FEES FOR OVERDRAWN ACCOUNTS. Fees may be imposed on each check, draft item, ATM card withdrawal, debit card withdrawal, debit card point of purchase, preauthorized automatic debit, telephone initiated withdrawal or any other electronic withdrawal or transfer transaction that is drawn on an insufficient available account balance. The entire balance in your account may not be available for withdrawal, transfer or payment of a check, draft or item. You may consult the Funds Availability Policy for information regarding the availability of funds in your account. Fees for overdrawing your account may be imposed for each overdraft, item or transaction. If we have approved an overdraft protection limit for your account, such fees may reduce your approval limit. Please refer to the Rate and Fee Schedule for current fee information.
Leaving Our Website
You are leaving Zing Credit Union’s website. Zing does not control this site and is not responsible for the content, products, or services available on the linked site. The credit union does not represent the third party or the member, if the two enter a transaction. The privacy and security policies of this linked site may differ from our own.
Press “Continue” to proceed, or press “Stay on This Page” to remain here.