15/15 Adjustable Rate Mortgage (ARM)

Key Features

15/15 Adjustable Rate Mortgage

Adjusts only once for the life of the loan

First 180 3.250% 3.351%$435.21 
Next 180 3.125%  3.351%$431.45 

*Payments shown do not include taxes or insurance, actual payments may be greater. Rates and offers are in effect as of August 27, 2015, for new applications only, for a limited time, and subject to change without notice. Example based on $100,000 loan. Other restrictions apply. Rate is variable and can increase by no more than 6 percentage points every 15 years (9.250% for this example). Since the index in the future is unknown, the First Adjustment Payments displayed are based on the current index plus margin (fully indexed rate) as of the date above.

  • Limited Time Special Offer! 
  • For Purchases & Refinances
  • Primary Residence & Second Homes (Investment properties are not eligible)
  • 1% origination fee



  • Free 60-day rate lock¹ 
  • This mortgage can be eligible for the PenFed Real Estate Rewards Program, which can save up to $10,000 when buying a home. Use of a network real estate agent and preferred title provider required. Learn More 

Keep in Mind: Have these on-hand: previous two Federal Income Tax Returns, your W2, current pay stub, and banking statements when you apply.

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Details and Disclosures

15/15 ARM: Available on purchases and refinances. Not available for applications without a property address (pre-purchase). The initial rate is fixed for 15 years (180 months). When the rate adjusts, your new rate will be the then current index (weekly average yield on US Treasury securities adjusted to a constant maturity of 10 years) plus a margin of one percent (1.000%) rounding to the nearest one-eighth (0.125%). The new rate cannot exceed six percent (6.000%) above the initial rate or cannot be lower than the floor rate of one percent (1.000%).

15/15 ARM Mortgage Payment Example: The information provided assumes the purpose of the loan is to purchase a property, with a loan amount of $100,000 and an estimated property value of $125,000. The property is located in Alexandria, VA and is within Fairfax County. The property is an existing single family home and will be used as a primary residence. An escrow (impound) account may be required as noted below. The rate lock period is 60 days and the assumed credit score is 740. At a 3.250% interest rate, the APR for this loan type is 3.351%, other rates and terms available. The monthly payment schedule would be $435.21 for the first 180 months at an interest rate of 3.250% and $431.45 for the next 180 months at an interest rate of 3.125%. Payments shown do not include taxes or insurance escrows; actual payments may be greater. NOTE: A 1% origination fee applies to this loan. The origination fee may be waived by adding 0.25% to the selected rate. The application of points will be determined by the loan to value (LTV) ratio. Points are the responsibility of the borrower and not covered in promotions. The maximum loan –to –value (LTV) for 15/15 ARMs is 80% and combined loan-to-value (CLTV) is 95%.

Investment properties not eligible for offers.
All Mortgage Programs: The application of points will be determined by the loan-to-value (LTV) ratio combined with certain representative credit scores. Points also apply to certain cash-out refinance transactions, certain condominium transactions, and some transactions with subordinate financing.
Origination fees may apply to certain programs. The origination fee may be waived by adding 0.25% to the selected rate. 
¹For a purchase transaction, the rate cannot be locked until PenFed has received a ratified sales contract executed by all required parties.
The applicant is responsible for the following fees and costs at the time of closing. Origination fee, appraisal fee, tax service fee, CLO access fee, title fees, transfer tax fees, credit report fee, flood cert fee, recording fee, survey if required and work verification fee, escrow reserves and interest due until first payment, other cost may be included due to program specific circumstances. This is not intended to be an all-inclusive list.
Escrows may be waived if LTV is 80% or less in all states.
Borrowers are required to have sufficient reserve assets available to cover 6 months full payments including principal, interest, homeowner’s insurance, property taxes and homeowner associated dues and/or mortgage insurance, if applicable.  For non-primary residences, we require 12 months of reserve assets.
If a loan is withdrawn, the applicant may not reapply for at least 90 days from the date the application was withdrawn.
Conforming Mortgages: For loan amounts from $25,000 to $417,000 (Loan amounts up to $625,500 are available in Alaska and Hawaii). The maximum combined loan- to-value (CLTV) is 95%; 80% LTV and above are subject to private mortgage insurance (PMI). The maximum LTV and CLTV for condominiums is 80%. The maximum loan –to –value (LTV) for 15/15 ARMs is 80% and combine loan-to-value (CLTV) is 95%.


Jumbo Mortgages: For loan amounts above $417,000 to $750,000 (Loan amounts from $625,500 to $750,000 are available in Alaska and Hawaii).  The maximum loan-to-value (LTV) is 80% and the maximum combined loan-to-value (CLTV) is 90%. The maximum LTV and CLTV for condominiums is 80%. 

Super Jumbo Mortgages: For loan amounts above $750,000. 5/5 ARMs up to $4 million and Fixed Loans up to $2 million. The maximum loan-to-value (LTV) and combined loan-to-value (CLTV) is 80%. In DC, MD and VA only, the maximum LTV and CLTV for condominiums as a primary residence is 80%. The LTV and CLTV in all other states for condominiums is 75% The LTV and CLTV for second home condominiums is 70% in all states.
All above disclosures apply to non-Veteran’s Administration (VA) loans. VA loans have different guidelines and eligibility requirements.
All rates and offers are in effect as of  September 2015, offered for a limited time and subject to change without notice. Other restrictions may apply. Contact your PenFed mortgage consultant for any applicable additional restrictions and details about your loan. To receive any advertised product you must become a member of PenFed by opening a share (savings) account.  Federally insured by the NCUA.
We do business in accordance with the Federal Fair Housing Law and the Equal Credit Opportunity Act.