Homeowners who secured cheaper, short-term mortgage rates could face higher monthly payments, in some cases almost doubling, this year as the term of their home loans comes to an end at a time when borrowing costs are elevated.Adjustable-rate mortgages, or ARMs, tend to offer relatively cheaper rates, but for shorter terms that could be between three to 10 years.
owing costs rose to their highest level since May 3 to nearly 7.3 percent.Elevated rates have ARM borrowers worried, according to a poll for Bloomberg conducted by CivicScience Inc. Around 10 percent said that they could fail to meet their obligations or postpone their mortgage payments when their ARM adjusts to market rates.
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