A jumbo loan is defined as a loan whose loan amount exceeds the Fannie Mae conforming loan limit.Jumbo borrowers may decide to refinance their homes in order to lower their monthly mortgage payments. This can be done, in some cases, by applying for a jumbo adjustable rate mortgage, or ARM. An ARM, including jumbo, or non-conforming ARMs, have mortgage rates that fluctuate throughout the term of the loan, but often come with a low introductory fixed rate. With the high dollar amounts involved in jumbo loans, a seemingly small decrease in rate can lower monthly payments significantly. There are risks involved in refinancing with an ARM, because the interest rate can go up after the introductory rate, causing an increase in monthly payments. Lone Star Financing can help you decide if a jumbo loan is right for you. Call us today for more informtion or apply online today!