We hear over and over about the risks of Adjustable Rate Mortgages, Interest Only Mortgages or Pay Option Mortgages. With the Refinance Boom of the past several years, many who refinanced their homes with ARM's are now facing the adjustment period of those loans.
Below is a news broadcast which does a good job of explaining some of the risks involved with these programs. Also, take note on where the effects are being felt. 3 of the 5 cities mentioned are in the Midwest. Homeowners in the Midwest cannot afford the rationale of, "Well. its only on the West Coast. Thats where the bubble really is." Think again.
All comments and questions are welcomed.
Your Columbia, MO Mortgage Broker
I have been in a Chapter13 for 3.5 years now. I just got trustee's approval for refinancing with a BK buyout going FHA. I also have made all my mortgage payment on time for 3 years. The problem Im having is my mortgage company is showing my payment history 1 month behind since I filled in 2003. What they are doing is applying my payment when they receive the trustee's payment. Can they legaly do that. I have payment history threw my bank that shows check# and the date the check posted, with check image. Hopefully this will be enough for the underwriters.
Posted by: RJ | March 07, 2007 at 06:27 PM
Where is the help for the people that had good credit and purchased a home and then their credit rating went down as their mortgage payments went up.....and it was harder and harder to pay, (mine has went up 2x) and now I cannot refinance anywhere because of the late payments...........who cares if I pay a 1000.00 mortage, no one---- I started out at 750.00........if I can pay that, (struggling to do so after it went to 900.00 but paying it) then why cant a mortgage company trust me to pay a smaller payment...............and probably on time...Where is our help?
Posted by: nicole | April 23, 2008 at 06:42 PM
And back when I bought my home, ameren ue wasnt asking for a raise in energy every year, milk wasnt almost 4.00 a gallon and neither was GAS.......! So my four kids and I are just supposed to up and move to make BIG companies rich?
Posted by: nicole | April 23, 2008 at 06:45 PM
Interesting stuff. I saw this news video clip, its too good.Great information.
Posted by: home loan calculator | January 29, 2009 at 09:18 PM