Other Loans and Programs

With a fixed rate loan, you never worry about your interest rate going up and raising your mortgage payment. That means you’re able to budget better.

With a CitiMortgage Fixed Rate loan you can choose from 10, 15, 20, 30 and 40-year terms and enjoy a set interest rate for the life of your loan. Use the chart below to compare fixed loan rates.

Compare Adjustable Rate to Fixed Rate Loans.

With an ARM, you experience a lower, fixed interest rate for a set period of time then the rate adjusts based on financial markets for the remainder of the loan term. So, your monthly payments are lower at first, but then down the road may increase if interest rates go up.

Changes in payments are due to the fact that the interest rate on your loan is not fixed. Instead, it changes over time according to a formula and an adjustment schedule. The formula is typically a base rate (“index”) plus a certain percentage (“margin”). As an example, a LIBOR index (London Market Interbank Offered Rates) rate of 2.00% plus a margin of 2.25% results in a “fully indexed rate” of 4.25%. So if the base/index interest rate has increased when it is time for a scheduled rate adjustment, your interest rate and monthly payment will also increase.

Some ARMs have a reduced interest rate (start rate) for an initial period of time. This rate is less than the current index plus the margin (the “fully indexed rate”). This means that your interest rate and monthly payment will be lower than normal for that initial period, but are likely to increase when that period is over, even if the index rate does not change. And, your interest rate and monthly payment will increase even more if the index rate rises.

CitiMortgage has a choice of ARMs with initial fixed rate periods of 10, 7, 5, 3 and 1 year terms. In addition, CitiMortgage also offers an interest-only ARM where you only pay the interest on your loan plus any applicable taxes and insurance. If you only pay the amount of interest that is due, at the end of the interest only period:

• You will still owe the original amount you borrowed.
• Your monthly payment will increase, even if interest rates stay the same, because you must now pay back the principal as well as interest over the remaining term of the mortgage.

Citigroup, CitiMortgage's parent company, has long been committed to making the communities in which it operates better. CitiMortgage lives up to this commitment through a variety of community lending programs designed to extend the dream of home ownership to everyone.

Our Pathways to Homeownership program is designed to help people understand the home buying process as well as the responsibilities that come with owning a home.

Fill out our quick online form and one of our Mortgage Consultants will reach out to you. Go »