This company offers only one program, the 3 year ARM - that means Adjustable RATE Mortgage. They only offer the 3 year ARM because it is in THEIR best interest not yours. Any lender that doesn't offer a variety of options would not have your best interest in mind.
Logically, if you are in a 30 year fixed at 4.75 currently and the new loan could increase 8% over the life of the loan, then no it is not a good deal for you unless you intend to sell your home prior to the increases.
What you can do is a streamline VA loan for a 30 year fixed rate which could get you into the high 3's or low 4's, let the lender pay your closing cost (thus keeping your 12k they are charging) and you won't have to wonder at what point your payment will increase.
Emery Federal Credit Union lends in all 50 states and I would be happy to review your situation with you personally or refer you to a trusted lender. I also have several references I can provide to you. My suggestion is you google the lender that has targeted you and I believe you will find there are several borrowers out there who feel cheated.