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Current ARM mortgage rates

On Monday, July 22, 2024, the national average 5/1 ARM APR is 7.66%. The average 10/1 ARM APR is 7.74%, according to Bankrate's latest survey of the nation's ... largest mortgage lenders.

Today's ARM mortgage rates

For today, Monday, July 22, 2024, the national average 5/1 ARM interest rate is 6.43%, down compared to last week’s of 6.51%. The national average 5/1 ARM refinance interest rate is 6.34%, down compared to last week’s of 6.39%.

Lenders nationwide provide weekday mortgage rates to our comprehensive national survey. Here you can see the latest marketplace average rates for a wide variety of purchase loans. The interest rate table below is updated daily to give you the most current purchase rates when choosing a home loan. APRs and rates are based on no existing relationship or automatic payments. For these averages, the customer profile includes a 740 FICO score and a single-family residence. To learn more, see understanding Bankrate rate averages

Product Interest Rate APR
3/1 ARM 6.13% 7.52%
5/1 ARM 6.43% 7.66%
7/1 ARM 6.71% 7.80%
10/1 ARM 6.93% 7.74%

Rates as of Monday, July 22, 2024 at 6:30 AM


During the introductory period, ARM rates are typically lower than their fixed-rate counterparts. The following table compares ARM rates to rates on other types of loans:

Compare current ARM rates versus other loan types

Product Interest Rate APR
30-Year Fixed Rate 6.85% 6.90%
15-Year Fixed Rate 6.29% 6.37%
30-Year Fixed Rate FHA 6.82% 6.86%
30-Year Fixed Rate VA 7.00% 7.05%
30-Year Fixed Rate Jumbo 6.94% 6.99%

Rates as of Monday, July 22, 2024 at 6:30 AM



How to get the best ARM rate

  • Step 1: Strengthen your finances - Before applying for an ARM, give your finances a checkup. See if you can improve your credit score, ideally to be “very good” at least. A better credit score, lower debt-to-income (DTI) ratio and higher down payment will result in a more favorable interest rate.
  • Step 2: Determine your budget - You’ll need a good handle on how much house you can afford before shopping for an ARM. Using an adjustable-rate calculator can help you estimate how your mortgage payment could swing once the rate adjusts.
  • Step 3: Compare ARMs: Compare a variety of ARMs — like 5/1 or 5/6 ARMs, 7/1 ARMs and 10/1 ARMs — to determine which fits you best. The introductory rates are higher on longer-term ARMs, but the tradeoff is that the fixed-rate period lasts longer.
  • Step 4: Compare rates and terms from several lenders - Rate-shop with at least three different banks or mortgage companies to find the best ARM offer. Keep an eye on the fine print, understanding the interest rate, fees and rate cap structure for the ARM.

ARM loan requirements

When compared to other types of mortgages, ARMs typically have stricter requirements. That’s because lenders need to consider your ability to repay the loan if your rate moves higher.

  • Loan amount: In 2024, homebuyers can borrow up to $766,550 for a conforming ARM (limits are higher in areas with higher home prices). You can take on a jumbo ARM which exceeds the conforming loan limit, though both these types of loans might be harder to secure.
  • Credit and income: With a higher credit score, you’re more likely to get a competitive interest rate. Lenders will also look at other factors such as other debt and income.
  • Down payment: Most conventional ARM loans require as little as 5 percent down.

When is it a good idea to get an adjustable-rate mortgage?

Consider your current financial situation and goals. Here are some scenarios where an ARM might be a good idea:

  • You can get a significantly lower APR on the ARM than with a fixed-rate mortgage
  • You plan to move or refinance before the initial rate period ends

There are positives and negatives when it comes to ARMs, however. Let’s break down the pros and cons further:

Pros of ARM loans

  • Lower payments in the beginning: The lower introductory rate on an ARM makes the loan more affordable, at least initially, which frees up room in your budget month to month.
  • Investment opportunity: You could take those monthly savings and invest, or put the funds toward another financial goal.
  • Significant savings if you plan to move: If you’re certain you’ll offload the mortgage before the fixed-rate period ends, you could save a bundle on interest.

Cons of ARM loans

  • Risk of higher rate: No one can predict how interest rates will move. Even with caps in place, your rate and payment could rise considerably over the life of the ARM.
  • More challenging to budget for: With a fixed-rate mortgage, you’ll have one set payment. With an ARM, you’ll only have a set payment just for the introductory period. After that, your payment could fluctuate. This can make future budgeting or financial planning difficult. 

I’m a first-time homebuyer. Should I get an ARM?

Glenn Brunker

President, Ally Home

"How long a buyer intends to stay in their home is an important factor to consider when looking for the right loan. For first-time homebuyers who are planning to be in the home for three to five years, an ARM is typically a better investment as they can take advantage of the lower interest rate during the early stages compared to a fixed-rate mortgage."

Dan Green


"Adjustable-rate mortgages are neither good nor bad. ARMs allow homebuyers to temporarily share interest rate risk with their lender in exchange for lower monthly payments over the mortgage's first few years. ARMs don't always adjust higher, either. Between 2008 and 2021, ARMs adjusted lower for a lot of U.S. homeowners."

Principal writer, Home Lending

"Simple question, complicated answer. Rates on fixed-rate mortgages have soared since 2022, so adjustable-rate mortgages (ARMs) have regained popularity — as of May 8, 7.7 percent of new mortgages were ARMs, according to the Mortgage Bankers Association. However, I’d say most buyers — and especially first-time buyers — should opt for a fixed-rate mortgage over an ARM. That’s partly because the savings just aren’t that great. The other reason: ARMs are more complicated. Most borrowers don’t relish keeping track of when their rates will adjust and by how much. That said, there's no right or wrong answer. I would recommend an ARM if you know you’ll sell the home in a few years and/or you work in finance or mortgage lending. In my experience, ARM borrowers skew towards industry insiders."

Lender compare

Compare mortgage lenders side by side

Mortgage rates and fees can vary widely across lenders. To help you find the right one for your needs, use this tool to compare lenders based on a variety of factors. Bankrate has reviewed and partners with these lenders, and the two lenders shown first have the highest combined Bankrate Score and customer ratings. You can use the drop downs to explore beyond these lenders and find the best option for you.

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Garden State Home Loans

NMLS: 473163

State License: MB-473163


Rating: 3.6 stars out of 5
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Recent Customer Reviews

Rating: 4.98 stars out of 5



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NMLS: 2289

State License: 4965


Rating: 4.5 stars out of 5
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Bankrate Score

Recent Customer Reviews

Rating: 4.94 stars out of 5



What is an adjustable-rate mortgage and how does it work?

The most common types of ARMs are known as hybrid ARMs, which have an initial fixed-rate period followed by a floating rate for the remainder of the loan. You may see these listed as 5/6 ARM or a 7/1 ARM, where the first number indicates how long the fixed rate lasts and second number indicates how often the rate adjusts (“6” for every six months, “1” for annually). Here’s a rundown of the most popular types:

  • 3/1 ARM or 3/6 ARM: The first three years have a fixed rate followed by a floating rate for the remainder of the loan.
  • 5/1 ARM or 5/6 ARM: The first five years have a fixed rate followed by a floating rate for the remainder of the loan.
  • 7/1 ARM or 7/6 ARM: The first seven years have a fixed rate followed by a floating rate for the remainder of the loan.
  • 10/1 ARM or 10/6 ARM: The first 10 years have a fixed rate followed by a floating rate for the remainder of the loan.

Usually, 5/1 ARMs have the lowest interest rate of the bunch. 

Further variations include FHA ARMs and VA ARMs, which are basically the government-backed versions of a conventional ARM, with their own set of qualifications. Convertible ARMs are another option, albeit less common. These are ARMs that allow you to convert your balance to a fixed rate, usually for a fee.

ARM loan FAQ

Meet our Bankrate experts

Written by: Andrew Dehan, Writer, Home Lending

I’ve covered mortgages, real estate and personal finance since 2020. At Bankrate, I’m focused on all of the factors that affect mortgage rates and home equity. I enjoy distilling data and expert advice into takeaways borrowers can use. Prior to Bankrate, I wrote and edited for Rocket Mortgage/Quicken Loans. My work has been published by Business Insider, Forbes Advisor, SmartAsset, Crain’s Business and more.

Read more from Andrew Dehan

Edited by: Troy Segal, Senior Editor, Home Lending

I’ve been writing and editing stories in the personal finance sphere for two decades, for publications like Business Week and Investopedia, covering everything from entrepreneurs to taxes. Since coming to Bankrate, I’ve concentrated on real estate, mortgages, renovations and other financial aspects of homeownership — helping people understand how a home isn’t just a place to live, but an investment that’s important to building and bequeathing wealth. 

Read more from Troy Segal