Posted by ron on March 31, 2007 at 11:55:51:
What are your plans for the home? If you are staying in it less than 5 years this sounds like a good deal. If you want to pay if off faster there are better loans that will give you the same payment as the I/O loan but pay the loan off in approx. 20 yrs. I have been in the industry for 10 yrs and recently started my own mortgage company. ronsam4@yahoo.com
A Good Rate? - Posted by Marie
Posted by Marie on March 30, 2007 at 22:01:17:
We’ve enjoyed a wonderful 4% interest rate for the past 3 idealic years and well…our fun is over. We adjust again in June (this is our personal home). I’m getting constant calls from every fly by night lending institute in the state and I’m feeling overwhelmed. My lender has offered streamlining our loan over to a 6% interest only ARM fixed for 5, the only cost to us would be the escrow and title fees (which for our loan would be in the $2,000 range). Is this good or could I do better? I want to compare, but I also am wary of Joe Blow promising me the moon, been there done that, learned from it. I also don’t want a lot of inquiries on my credit report lowering our scores. Another caveat is that if rates go down, our lender will refi at any time for $500 flat rate.
Re: A Good Rate? - Posted by josh
Posted by josh on April 08, 2007 at 06:39:52:
Marie,
This sounds like a great deal. Less paperwork, and less up front costs.
As well, the rate is very low for this market. I say go for it.
Have they offered you a 30 year fixed?