This couple took out an adjustable-rate mortgage when rates were over 8%. Here’s how it worked out.

This couple took out an adjustable-rate mortgage when rates were over 8%. Here’s how it worked out. Surging mortgage rates have 1 in 10 home buyers choosing an adjustable-rate mortgage.

Adjustable-rate mortgages have the potential to save home buyers some money up front, but they also can present challenges down the line. When Sean Burke and Alyse Stanley bought their first home in Rockford, Ill., in October 2023, the average 30-year mortgage rate had just crossed 8%. The couple had moved to Illinois from Virginia in search of affordable housing.

Homes in Rockford were selling for about half the price of houses in Virginia Beach, where they had been renting. Copyright ©2026 MarketWatch, Inc. All Rights Reserved. 87990cbe856818d5eddac44c7b1cdeb8 I’m 62 and retired with $7M.

My wife never went back to work after raising our kids. Do I have to share my retirement savings 50/50? Tesla’s delivery report is just around the corner.

Aarthi Swaminathan is a MarketWatch personal finance reporter covering residential real estate. She is the winner of a silver award for Best Collection of Work by an Individual Covering Residential Real Estate from the National Association of Real Estate Editors. Intraday Data provided by FACTSET and subject to terms of use.

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