Since their introduction, the proportion of adjustable rate mortgages (ARMs) to fixed-rate residential mortgages has remained very stable over interest rate cycles.

Question

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This statement is false. The proportion of ARMs to fixed-rate residential mortgages can vary significantly depending on current interest rates and other factors. During periods of low interest rates, the proportion of ARMs may increase as borrowers seek lower monthly payments, while during periods of high interest rates, the proportion of ARMs may decrease as borrowers choose the stability of a fixed-rate mortgage.

Since Their Introduction, the Proportion of Adjustable Rate Mortgages (ARMs)