variable-rate mortgage

(redirected from VRM)
Also found in: Dictionary, Thesaurus, Acronyms, Encyclopedia, Wikipedia.

Adjustable Rate Mortgage

A mortgage with an interest rate that changes periodically. Generally speaking, an adjustable rate mortgage is linked to some major benchmark rate; for example, the interest rate may be stated as "LIBOR + 1%." The mortgage may or may not have a cap on how much the interest rate can rise or fall, or on how often the interest rate may change. Very often, the initial interest rate for an adjustable-rate mortgage is lower than that for a fixed-rate mortgage. This allows more people to qualify for an adjustable-rate mortgage; however, this kind of mortgage can be risky because the interest rate (and therefore the monthly payment) can rise unexpectedly. Indeed the prevalence of ARMs has been blamed for the housing bubble in the mid-2000s and the subsequent recession. See also: Credit Crunch, Teaser Rate.

variable-rate mortgage (VRM)

A precursor to the modern adjustable-rate home mortgage (ARM), and still used in the area of commercial mortgages.With a variable-rate mortgage,the interest rate on the loan changes whenever the index rate changes. The monthly payments usually change every month, also. Most construction loans are variable-rate mortgages. The ARM differs because the interest rate changes at predetermined intervals, such as once a year or once every 6 months.

References in periodicals archive ?
Since 1994, VRM Media has been a leading business media company serving the informational needs of the health and natural products industry.
All fine and good, but as with the marketing department already discussed, fundraising staff has little direct involvement with the service delivery staff, so again the VRM is at a disadvantage in placing volunteers strategically.
Our flagship product, Unified VRM, provides a single platform to manage vulnerabilities.
The VRM architecture (see Figure 1) provides a framework for mapping the value "proposition" for individual technology development projects or programs.
An additional ounce of copper was added to the layer that exceeded current density limits, and a power island was added to the design's 10 signal layers at the VRM pin locations.
Before using VRM, it could take five to six hours to provision a PC in the research lab, depending on the needed configuration and software.
We also examined multivariate associations with VRM score according to recommended thresholds for fish intake and mercury exposure.
MetricStream's GRC platform and applications allow customers to tie their VRM program to other areas such as vendor performance, quality, audits, compliance, and contract management in a way that drives more holistic GRC programs supported by real-time analytics.
Founded in 2010, the mission of VRM Seeds of Hope is to bring value to the lives of families, rejuvenate distressed communities and to help protect neighborhoods from the effects of foreclosures.
RSA VRM is engineered to leverage Big Data and advanced analytics to identify the most important vulnerabilities so they can be fixed quickly to limit risk and better prevent cyber attacks.
Vendor Resource Management, the asset disposition firm that developed VRM University, is an exhibitor at the conference.
Following the sale of its connected services platform, Tweddle will capitalize on its more than 60 years of experience in managing communications and aftersales support for OEMs, dealers and consumers to concentrate on major expansions of its VRM content and services.