First adjustment caps vary with type of loan program. (mortgage-x.com)
The worst case first adjustment on this 7/1 ARM would bring the rate up to 8.875 generating a payment of 1160.57 which is 429.57 higher than the 30 year fixed rate mortgage. (iloanhomemortgage.com)
ARMs with an initial fixed period beside of lifetime and adjustment caps usually have also first adjustment cap. (mortgage-x.com)