# Eligibility of Adjustable Rate Mortgages
> **US Department of Housing and Urban Development** · Interim rule. · Published 2005-03-29 · Effective 2005-04-28 · 70 FR 16080
## Document
- **Document number:** 05-6061
- **Category:** hud-other
- **Agency:** US Department of Housing and Urban Development
- **Federal Register citation:** 70 FR 16080
- **CFR reference:** 24 CFR 203
- **Publication date:** 2005-03-29
- **Effective date:** 2005-04-28
- **Docket:** Docket No. FR-4946-I-01
## Abstract

This rule makes available a new adjustable rate mortgage (ARM) product. In accordance with statutory authority, this rule enables the Secretary to insure five-year hybrid ARMs with interest rates adjustable up to two percentage points annually (this type of mortgage is known as a 5/1 ARM). The lifetime cap on annual interest rate adjustments for five-year ARMs is set at six percentage points.

## Source
- [Federal Register document](https://www.federalregister.gov/documents/2005/03/29/05-6061/eligibility-of-adjustable-rate-mortgages)
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