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Posted: 1/31/2006 12:05:32 PM EDT
[Last Edit: 1/31/2006 12:05:50 PM EDT by lordtrader]
Link Posted: 1/31/2006 12:07:16 PM EDT
I never heard good things about ARM's. So I went with a fixed rate with our home purchase.
Link Posted: 1/31/2006 12:08:29 PM EDT
I used to have a friend who was a realtor who kept urging me to get an adjustable rate mortgage, back when rates were low, because he figured most people only stay in a house for 5-6 years.
Glad I didn't listen to him.
Link Posted: 1/31/2006 12:11:20 PM EDT
Link Posted: 1/31/2006 12:12:23 PM EDT
I hate moving. When I leave the house I'm in now, it will be in a pine box.
Link Posted: 1/31/2006 12:12:38 PM EDT
Never have, never will.
Link Posted: 1/31/2006 12:17:04 PM EDT
I am taking it in the O ring now for months with the int only mortgage. Was a great 2 years ago
Link Posted: 1/31/2006 12:18:17 PM EDT
[Last Edit: 1/31/2006 12:18:27 PM EDT by Dog1]

Originally Posted By SmilingBandit:
I hate moving. When I leave the house I'm in now, it will be in a pine box.



Damn right...the house I'm in now..I'm dying in...then I coming back to haunt the fuckers that buy it..
Link Posted: 1/31/2006 12:19:00 PM EDT
It would REALLY be nice to see the home prices drop around here.
Link Posted: 1/31/2006 12:25:06 PM EDT
[Last Edit: 1/31/2006 12:25:53 PM EDT by Dog1]

Originally Posted By Chaingun:
It would REALLY be nice to see the home prices drop around here.



Move here to Indiana...CCW, MG's, Suppressors, cheap to live..

I live within 100 yards of an 80 acre lake, camping, swimming, fishing. In my circle there are 4 houses and one is for sale-

2400 sq feet finished, with basement, and another 300-400 that can be finished. Wooded lot with no one that can build beside you or behind you.

2 car garage, HUGE deck with a monster of a hot tub..$220,000

Gun owners galore up here too..
Link Posted: 1/31/2006 12:27:28 PM EDT
I have about 12 years remaining on a 15-year fixed rate loan at 4.75%.

Link Posted: 1/31/2006 12:33:03 PM EDT
FIXED RATE @ 5.25%.
Link Posted: 1/31/2006 12:34:29 PM EDT
[Last Edit: 1/31/2006 12:36:37 PM EDT by Admiral_Crunch]
When we bought our house last year, I figured interest rates had nowhere to go but up. Getting a fixed-rate loan was a no-brainer to us. 5.75% I believe.
Link Posted: 1/31/2006 12:35:17 PM EDT
Link Posted: 1/31/2006 12:35:52 PM EDT
Link Posted: 1/31/2006 12:39:46 PM EDT

Originally Posted By Chaingun:
It would REALLY be nice to see the home prices drop around here.




You say that, til you own a home.
Link Posted: 1/31/2006 12:39:55 PM EDT
Got a 30 yr fixed at 5.50%. It was zero points.
Link Posted: 1/31/2006 12:57:36 PM EDT
I have 0%.
Link Posted: 1/31/2006 1:00:18 PM EDT
[Last Edit: 1/31/2006 1:01:10 PM EDT by TheCynic]
I do. It is fixed @ 3.75% for another 30 months, then it will adjust upwards at no more than 1% a year. So, I have a while before I'll be paying 7%. The condo will be sold well before that point anyhow.

ARMs are great if you use them correctly.
Link Posted: 1/31/2006 1:01:45 PM EDT
It's all relative. Fixed rates are just as low as they were 12 months ago.
Link Posted: 1/31/2006 1:07:03 PM EDT
[Last Edit: 1/31/2006 1:07:16 PM EDT by HardShell]
Low, fixed 15-year (5 down, 10 to go) on the house and accompanying acreage...


Once-good ARM now ripping me a new one on the extra adjacent 20 acres we bought later.
(I'll be paying that one off early...)
Link Posted: 1/31/2006 1:14:21 PM EDT
Glad I locked in at 5% for 30 years...

Link Posted: 1/31/2006 1:45:09 PM EDT
[Last Edit: 1/31/2006 1:46:21 PM EDT by lordtrader]
Link Posted: 1/31/2006 1:50:55 PM EDT

Originally Posted By lordtrader:

Originally Posted By TheCynic:
I do. It is fixed @ 3.75% for another 30 months, then it will adjust upwards at no more than 1% a year. So, I have a while before I'll be paying 7%. The condo will be sold well before that point anyhow.

ARMs are great if you use them correctly.



Yes that is the proper way of using an ARM. Historically interest rate cycles ever 3-5 year. So having a 5 and 1 ARM right when rates are low is advantageous. Also if you have a job that you know will make you move, an ARM is a great way to save money.

The gamble is being able to refinance at a good level before it resets.



Monstrous +1.

If interest rates skyrocket and the money supply gets tight, property values will fall and many won't be able to refi for a rate that doesn't punish the O ring.
Link Posted: 1/31/2006 1:58:02 PM EDT
Fixed 5.75%

Link Posted: 1/31/2006 2:14:20 PM EDT
Fixed 5.5 on a 15yr loan...

<­BR>

...just paid it off a few months ago. WooHoo...!
Link Posted: 1/31/2006 2:16:36 PM EDT
PS---the last payment was a whole $26.00
Link Posted: 1/31/2006 2:20:42 PM EDT

Originally Posted By Dog1:

Originally Posted By Chaingun:
It would REALLY be nice to see the home prices drop around here.



Move here to Indiana...CCW, MG's, Suppressors, cheap to live..

I live within 100 yards of an 80 acre lake, camping, swimming, fishing. In my circle there are 4 houses and one is for sale-

2400 sq feet finished, with basement, and another 300-400 that can be finished. Wooded lot with no one that can build beside you or behind you.

2 car garage, HUGE deck with a monster of a hot tub..$220,000

Gun owners galore up here too..



Things to do.......


Find a good job in Indiana

and move.
Link Posted: 1/31/2006 3:09:18 PM EDT
Link Posted: 1/31/2006 4:18:46 PM EDT
Won't the level of pain correspond to whatever index the adjustable rate is tied to?

If the ARM is tied to prime there will be trouble, but long term interest rates have barely budged because most bond traders see little risk of long term inflation.

I have a fixed rate mortgage because I didn't want to assume rate fluctuation risk and was willing to pay a slightly higher initial rate for that, but my understanding is that ARMs can be tied to all different measures. Are most tied to prime rate?
Link Posted: 1/31/2006 4:22:12 PM EDT

Originally Posted By H46Driver:
Won't the level of pain correspond to whatever index the adjustable rate is tied to?


My interest-only ELOC is tied to the LIBOR and is now 7.25% for the last bill.

Luckily it is only a couple grand and will be paid off within the next year or so.
Link Posted: 1/31/2006 4:27:14 PM EDT


A developer we know is lending money because he's having trouble finding good development properties that will warrant the risk.
Link Posted: 2/1/2006 4:00:30 AM EDT
[Last Edit: 2/1/2006 4:04:05 AM EDT by lordtrader]
Link Posted: 2/1/2006 4:14:15 AM EDT
Just starting out. Fixed 5.5% 30 year loan, on track to pay it off in 11. If I can keep a job in my current area and my neighbors stay good, I'll probably still own the place.
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