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5 Year Adjustable Rate Mortgage 7 1 Arm interest rates 7-year arm mortgage Rates – Mortgage Calculator – Payment rate caps on 7/1 ARM mortgages are usually to a maximum of a 2% interest rate increase at time of adjustment, and to a maximum of 5% interest rate increase over the initial indexed rate over the life of the loan, though there are some 7-year mortgages which vary from this standard.