Mortgages

Adjustable Loans Form Largest Share of US Mortgages Since 2008

Lock
This article is for subscribers only.

US homebuyers are increasingly turning to adjustable-rate mortgages as overall borrowing costs soar.

ARMs -- which carry variable interest rates that reset based on the market at predetermined times -- accounted for 10.8% of total home-loan applications in the week ended May 6, data from the Mortgage Bankers Association showed Wednesday. That’s up from 3.1% of activity at the start of the year and is the largest share since 2008.