Adjustable Rate Mortgage

Adjustable rate mortgages offer a fixed interest rate and payment for a stated time period. Thereafter, the interest rate and payments may adjust annually subject to initial, annual and lifetime interest rate caps.


  • Maximizes purchasing power.
  • Usually carries a lower interest rate compared to 15, 20 or 30-year fixed rate loans.
  • Lower interest rate allows families to qualify for a larger loan amount.
  • Low down payment.
  • Suitable for homeowners who plan to move or refinance again within a few years.
  • Think retains servicing.


  • Loan term/amortization
    Maximum 30 year amortization.
  • Product options
    Fixed for 5, 7 or 10 years then adjusting annually after the fixed term. Not convertible to fixed rate loan.
  • Eligible property types
    1 to 4 unit owner-occupied primary residence including condos, PUDs, town-homes and 1-unit vacation homes suitable for year-round occupancy.
  • Origination fee
    1% of loan amount, maximum of $1,500.
  • Index
    Weekly average yield on US Treasury Securities adjusted to a constant maturity of one year.
  • Margin
    5 year: 2.50%
    7 and 10: 2.50%
  • Rate caps
    5 year: 1.5% annual/4% lifetime
    7 and 10 year: 1.5% annual/4% lifetime

How to apply:

Apply online, visit one of our branch locations or call us at 1-800-288-3425.

* APR = Annual Percentage Rate.

Payment example: A 7 year $100,000 adjustable rate mortgage loan at 4.442% APR* will have monthly payments of $514.14 for the first 7 years with the rate subject to yearly adjustments or increases up to 1.5% per year thereafter with a lifetime cap of 7.325% APR*. Downpayments vary from 0-20% for qualified borrowers.

Payment does not include amounts for taxes and insurance and the actual payment obligation may be greater. Origination fees may vary from $0-$1500. Other closing costs may apply. Other terms and amounts are available. Rate current as of October 18, 2018 and is subject to change. Home financing is available to existing customers, or new customers who live or work in Minnesota, for primary residences located in AZ, FL, IL, IN, IA, KS, MN, MO, NE, ND, SD & WI. Click here for current mortgage rates.

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Insurance products are offered through Think Insurance (MN license # IA-538), not Think Mutual Bank. Insurance products are not FDIC insured, are not insured by any federal agency, and are not a deposit or guarantee of Think Mutual Bank. This is not a policy. For a complete statement of coverages and exclusions, please see the policy contract.

The Investment Professionals of Think Financial Planning are Registered Representatives and Investment Adviser Representatives with/and offer Securities and Advisory Services through Commonwealth Financial Network, Member FINRA/SIPC, a Registered Investment Adviser. Fixed insurance products and services offered by CES Insurance Agency. Investments are not FDIC insured, not bank guaranteed, not insured by any federal agency and may lose value. Check the background of this firm on FINRA's BrokerCheck. Think Financial Planning is headquartered at 5200 Members Pkwy NW, Rochester, MN 55901.

This information is provided for new customers who live or work in Minnesota, and for existing customers residing in the states of AR, AZ, CA, CO, FL, GA, IL, IN, IA, KS, KY, MA, MD, MI, MN, MO, MT, NE, NM, NV, NY, ND, NC, OH, PA, SD, TN, TX, UT, VA, WA, WI, WY. No offers may be made or accepted from any resident outside of these states due to various state regulations and registration requirements regarding investment products and services.