The following examples illustrate the important terms of some of the loan products offered by Merrill Lynch Home Loans™. Except as otherwise stated, all examples are based on a $480,000 loan amount for non-conforming (loans above $417,000 ) and a $300,000 loan amount for conforming mortgages (loans below $417,001 ), where a one point origination fee is paid in either case. Rate and payment amounts vary based on the amount of the origination fee.

 

APR on all Adjustable, Term Adjustable-Rate loans and Equity Lines of Credit may increase or decrease after closing.

For all adjustable-rate mortgages: When deciding whether an adjustable-rate mortgage is right for your situation, you should consider the potential risk of rising rates and payments and such factors as how long you plan to own your home.

Concerning interest-only mortgages: “Interest-only” mortgages allow you to pay only the interest on the money you borrow for a certain number of years. If you only pay the amount of interest that’s due, once the interest-only period ends, you will still owe the original amount you borrowed and your monthly payment will increase – even if interest rates stay the same – because you must pay back the principal as well as interest. You should ask what the payments on your loan will be after the end of the interest-only period. If you are considering an adjustable-rate mortgage, ask what your payments can be if interest rates increase.


Interest rates are set each day at 9:30 a.m. EST and generally posted to our Web site at 10:00 a.m. These rates are not guaranteed and are subject to change without notice. 
Rates as of Friday, February 03, 2012 9:30 AM
Loan TypeInterest RateAPROrigination FeeTermNumber of Monthly PaymentsMonthly Payment Amount
PrimeFirst® 1-Month Adjustable-Rate LIBOR-Based Mortgage1.500%1.608%1.00010 Years120 monthly interest-only payments $600
1.500%1.608%15 Years180 monthly principal and interest payments$2,980
5-Year Conforming Interest-Only Term ARM2.690%3.176%1.0005 Years60 monthly interest-only payments $673
3.375%3.176%5 Years60 monthly interest-only payments based on the 1-Year LIBOR + 2.250%. $844
3.375%3.176%20 Years240 monthly principal and interest payments based on the 1-Year LIBOR + 2.250%.$1,721
30-Year Conforming Fixed-Rate Mortgage 3.980%4.089%1.00030 Years360 monthly principal and interest payments$1,429
30-Year Fixed-Rate Mortgage4.375%4.478%1.00030 Years360 monthly principal and interest payments$2,397
* Interest rate may vary and APR may increase after closing. Payments do not include amounts for taxes and insurance premiums. The actual payment obligation will be greater.