The new product will be offered with a lower cap of 2/2/5, unlike most traditional ARMs that require a 5/2/5 cap.
First launched in 2012, UWM's Elite program caters exclusively to well-qualified clients, providing preferred conventional rates and pricing for borrowers with high FICO scores.
The program has been continually expanded with the release of Elite ARM being the most recent addition, the company reports.
"Our new Elite ARM product is a natural addition to our Elite program, which offers the absolute best pricing for the best qualified borrowers," says Mat Ishbia, president and CEO of UWM, in a release. "This new product enables our broker partners to help get their borrowers the best option that fits their needs. It gives our clients an edge over the competition."
The new program offers loans with fixed or 5/1-7/1 ARMs; loan amounts from $250,000 (or county limit); and up to 80% loan-to-value ratio. It is limited to borrowers with FICO scores of 760 or better.
In its release, UWM points out that as rates inch up, ARMs are becoming increasingly popular and an attractive option for borrowers who don't plan on living in their home long term.