money.cnn.com — More than two million subprime adjustable rate mortgages (ARMs) are poised to reset at much higher rates in coming months, worsening an already suffering housing market. Borrowers who took out hybrid ARMs in 2004 and 2005 to secure low "teaser" rates for the first two or three years of the loan may see their monthly mortgage payments climb by 35%
Jul 9, 2007 View in Crawl 4
joshshuJul 9, 2007
patrick.net is all about that
Closed AccountJul 10, 2007
It wont be the government that is requiring that, wallstreet will not invest, which means a lack of capital for mortgages, which means the lenders will get pickier about who they give loans to.It isnt going to be this dream buyers market, because more than likely most people wont even qualify to participate in the market
Closed AccountJul 10, 2007
if the only way you can get a mortgage is you get an arm or interest only mortgage then you don't need the house.
bigp3rmJul 10, 2007
A good loan officers duty is to review their clients current needs. How long will they be living in the home? Do they plan on selling it for profit in the near future? Or any other number of scenarios. What often happens is that once a solid plan is laid out for the borrower they go astray. The market is so competitive they will probably get a call from another broker offering a better deal (lower interest rate). When you go to sign your documents with your new best friend (new broker) guess what. You will often be stuck with a worse deal and the broker raping you with points. People are left trapped with no time to start the process again and they sign off on the deal.Go with a loan officer that has a solid track record. Check with friends and relatives I'm sure you can find an honest one. If someone contacts you on the phone with a deal that sounds to good to be true you can bet it is. I just don't understand how people lose all aspects of commonsense when shopping for mortgages.Broker VS Banker..It's the brokers job to find you a solid loan package that fits your current needs. If you go with a bank you are stuck to the limited packages they may offer. Brokers can offer wholesale rates. Banks will stick you with often higher retail rates.How do brokers make their money?1. Upfront origination and discount points. These points are set as a percentage of the total loan amount. Discount points are for offsetting what the broker will lose on offering you a lower rate.2. Back end - When a broker locks your loans interest rate there is a percentage rebate set for that rate.IE. Your broker locked you at 6% on X date for 30 days and that rate pays a rebate of 2%. That's just an example prices change daily with the market.Be smart.. Be safe..
akcoderJul 10, 2007
Sure the city gets pissed, but thats what neighbors and friends are for. I drug my friends lawn mower over to my place all the time. It wasn't until my wife found a slightly used, if not cantankerous one at a garbage err garage sale for $25 that I finally had one of my own.Washer and dryer are essential I will agree... My mom bought them for me as a house warming gift so I lucked out there.
ryebryeJul 11, 2007
The person has to sign the "Truth in lending" paper - which spells out in pretty f**king obvious terms what you are agreeing to.I agree with VAPerson - I don't want my taxes to go to financially reckless retards.
encognitoJul 11, 2007
Most Americans would rather look rich than do what it takes to actually be rich.
byloosbyloosJul 11, 2007
Now here we go with the slipping prices of homes. Smart buyers who held out on the sidelines, get ready for action.