If you’re in the market for a new home, you may be wondering what type of mortgage to choose. There are two main types of mortgages: adjustable-rate mortgages (ARM) and fixed-rate mortgages.
In this video, NerdWallet’s Kate Wood compares the two to help you decide which one is the best option for your financial situation and goals.
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Suggested Articles:
ARMs vs. Fixed-Rate Mortgages: How to Compare:
https://www.nerdwallet.com/article/mortgages/benefits-arm-fixed-mortgage-product
Fixed-Rate Mortgage: What You Need to Know:
https://www.nerdwallet.com/article/mortgages/fixed-rate-mortgage-101
What Is an Adjustable-Rate Mortgage?
https://www.nerdwallet.com/article/mortgages/adjustable-rate-mortgage-arm
Adjustable-Rate Mortgages: The Pros and Cons:
https://www.nerdwallet.com/article/mortgages/pros-cons-adjustable-rate-mortgages
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Fixed vs ARM Mortgage: How Do They Compare? | NerdWallet
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16 Comments
@dlk3r · October 29, 2026 at 9:03 am
Lol… no cap
@Michael-sq1jp · October 29, 2026 at 9:03 am
Fixed rate loans are easeire than ARMs; NO CAP😂 6:14
@DawnLujan-y5v · October 29, 2026 at 9:03 am
Thank you.
@HarrisburgMedia · October 29, 2026 at 9:03 am
Question. What if i get a 5year arm, and pay off the house before the 5 years is up. are there any penalties
@brandhark7935 · October 29, 2026 at 9:03 am
Why is Linda Cardellini giving me mortgage advice? 😂
@jerp71 · October 29, 2026 at 9:03 am
$300,000 at 5.5% over a 30 year term, has a P&I payment of $1703.36, not $2159.
@jbroheretoday · October 29, 2026 at 9:03 am
Excellent. Thank you so much.
@Alex-mi6vp · October 29, 2026 at 9:03 am
Great video, thanks!
@ogzombiebreakfast · October 29, 2026 at 9:03 am
This just sounds like a variable rate mortgage with extra steps. There might be a 5 point cap, but that's a significant number. A change of even a single point is huge for most people, and even in your example, the cap is more than twice the original rate! This sounds like just another way of tricking poor people into gambling with their livelihood.
@D.R.E.Y.Z · October 29, 2026 at 9:03 am
My question is – can I get an ARM, benefit from the introductory period by paying less interest. Then refinance to a Fixed rate just before the introductory period ends. This way, I’ve benefited from the low introductory rate for the first 3-5 years. Is there a penalty if you change from an ARM to a Fixed rate before the introductory period ends?
@zaheerahshareef8131 · October 29, 2026 at 9:03 am
I have a 30 year fixed rate mortgage but the way my property taxes and insurance changes it feels like an ARM 🤦🏾♀️
@kalwubie6139 · October 29, 2026 at 9:03 am
Thank you so much darling so helpful
@charliem4867 · October 29, 2026 at 9:03 am
Interest is currently 10%. How the hell is that worth it even to begin with? 😂
@Minnie_The_Investor · October 29, 2026 at 9:03 am
Thank youuuu
@GardensoftheAncientsHerbal · October 29, 2026 at 9:03 am
If you can pay a lot in the first 5 years and reduce the principal then arms are worth it.
@Devinxv4 · October 29, 2026 at 9:03 am
If you're looking at an ARM, 2008 called and wants to sell you a bridge.