Mortgage | Fixed vs Adjustable Rate Mortgages

home loan buyer mortgage arizona jeff heggie real estate

Jeff Heggie – Arizona Mortgage Loan Officer NMLS#2247399

Some of you may know, but in addition to my business, success, and peak performance coaching, I have recently joined Geneva Financial Home Loans, a mortgage lender headquartered in Chandler, Arizona as a Mortgage Loan Originator. I’ve always had a passion for serving others and now I’m proud to be a part of Home Loans Powered by Humans. If you are in the state of Arizona and looking to take the next step in your journey, contact me at 801-830-3858 to start the conversation.

NMLS#42056 BK#0910215 Equal Opportunity Lender.

In addition to my other articles on this site, at times I will share valuable information regarding the mortgage and/or real estate industry.

At Geneva Financial we offer Conventional, FHA, VA, USDA, Refinance, Reverse, Jumbo and Condo Financing as well as Down Payment Assistance Programs, First-Time Homebuyer Programs, Physician Loans and Hero Loans for First Responders, Police, Firefighters, Nurses, and Teachers.

The Arizona real estate market is exciting right now. So whether you are moving to Arizona and you’re looking to buy a new home, or you already live here and you’re looking to buy, or refinance, there are many opportunities.

Fixed vs. Adjustable Rate Mortgages

A Fixed-rate mortgage is a mortgage with a fixed interest rate. There are typically two options for fixed-rate mortgages, a 30 year and a 15 year. In most cases, you may get a lower rate for a 15-year loan, and while you will pay off your mortgage in just 15 years, your monthly payment will be higher. A majority of buyers opt for the 30 year fixed rate loan, as it spreads your loan payments out of 30 years resulting in a lower monthly payment. With a fixed-rate loan, your interest rate will never change, unless you refinance or restructure the loan in any way.

An adjustable-rate mortgage is a mortgage with an interest rate that is fixed for a designated amount of time and then will vary depending on the market. This means your mortgage payment can be higher or lower during the adjustable phase and is not one constant number. The most common form of an adjustable-rate mortgage is a 5/1 ARM which is a loan program that keeps your mortgage rate fixed for 5 years, and then moves to an adjustable-rate mortgage. The benefits of adjustable-rate mortgages are that you may have a lower interest rate in the beginning, and mortgage payments may be lower during the first 5 years.


The benefits of homeownership reach far and wide. Not only are there financial benefits to owning a home but there are emotional, social, and societal benefits as well! Take a look at all homeownership has to offer. Also, keep in mind that we can help finance your dreams with some programs requiring as low as a 3% down**

Let’s look at some common myths we see in regard to purchasing a home.

Fact vs. Fiction

  • The majority of Americans still believe a 20% down payment is required to buy a home. This is simply not true.
  • More than 70% of non-cash, first time home buyers made down payments of less than 20% over the last five years.
  • The typical down payment for 60% of first-time home buyers is 6% or less.
  • Only 13% of young adults (34 and younger) realize they can purchase a home with a down payment 5% or less.
  • There are a multitude of programs that could work for your home purchase. Depending on your scenario you may be eligible for a variety of down payment options: Program Options:
    • FHA Loans – 3.5% down with a 620 score
    • VA Loans – No down payment
    • USDA Loans – No down payment
    • Conventional 97 – 3% down
    • 100% financing options available

For more information and details contact Jeff at or (801)830-3858 or visit

Learn about other mortgage products: Conventional Loans, FHA Loans, Refinancing, VA Loans, USDA Loans, HERO Loans, Renovation Loans, Others


Published by D. Jeff Heggie

Father, Husband, Coach & Entrepreneur

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