ARM
What does ARM stand for?
Adjustable rate mortgage
Example
"I have a 4/26 ARM, which means I have a fixed interest rate for 4 years and then a floating rate for the remaining 26 years on the mortgage."
Related Slang
Usage
Last Updated: February 25, 2015
An acronym that stands for a type of mortgage where the interest paid on the outstanding balance changes based on a specific benchmark and an additional spread, which is called an "ARM margin"; also known as a "floating-rate mortgage" or a "variable-rate mortgage."