Category Archives: ARMs

Millions Of ARMs Set To Reset

Millions of Adjustable Rate Mortgages will reset to dramatically higher rates in the next two years, leading to a skyrocketing of foreclosures and a likely decrease in property values. About a tenth of all mortgages will reset in the next … Continue reading

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Exotic Mortgage Resets Promise Trouble Ahead

If you want to get a home mortgage today, you’re unlikely to get a liar loan or no money down loan or a fancy ARM. Those died out in 2008. But until they died out, thousands signed up for them. … Continue reading

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Making The Case For ARMs

There’s not much sense in calling around banks for their lending rates because they can be calculated in different ways and the lowest sounding rate is usually not the lowest rate. ARMs tend to be based on the prime interest … Continue reading

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Looking Around For The Best Adjustable Rate Mortgage

From the Washington Post: The global financial crisis has affected virtually every aspect of personal finance, from mortgages to student loans to credit cards to retirement savings. So it’s no surprise that so many of our readers have so many … Continue reading

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Before Your ARM Resets

From Kiplinger.com: If you have an adjustable-rate mortgage that is about to rise, don’t wait for the payments to become unaffordable. Instead, refinance into a fixed-rate loan. People with good credit records have been getting 30-year fixed-rate mortgages for 6%-plus, … Continue reading

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Troubled ARM Loans Doom Wachovia

From Bloomberg: Wachovia fell 52 percent to $4.88 in German trading. Wachovia’s plight stems from the $24 billion acquisition of Golden West Financial Corp., a California lender that specialized in payment-option adjustable-rate mortgages. Analysts at Fitch Ratings predict default rates … Continue reading

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Finding Option ARM Mortgages

From CNN: NEW YORK -(Dow Jones)- Of all the large lenders that wrote Option ARM, or so- called Pick-A-Pay mortgages, only two notable names – Downey Financial Corp. ( DSL) and BankUnited Financial Corp. (BKUNA) – remain independent. Option-ARM mortgages … Continue reading

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Easy Come, Easy Go

From Milwaukee: All but one of the loans came with high-interest, adjustable rates. Until the market crashed last year, borrowers — often under pressure from aggressive loan brokers — were snatching up subprime loans as fast as lenders could write … Continue reading

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Illinois Helps With ARM Burden

From the Chicago Tribune: Homeowners struggling to make payments on adjustable-rate mortgages could get a little extra help from the state under legislation signed into law Friday. The measure, which expands a homeowner-assistance program, would help those seeking to refinance … Continue reading

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Reasons To consider An Option ARM Mortgage

Carolyn Warren writes in her book Mortgage Rip-Offs: * You cannot afford to get started in real estate in any other way * Home values in your area are likely to rise sharply in the next few years * Your … Continue reading

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