128,000 option arms about to blow in AZ. Whoopsie here comes a second wave.

[lonestarnot]

http://www.azfamily.com/news/local/9-pm-Extra-Arm-Foreclosures-63826897.html

[Horse with no Name]

1. That's gonna hurt!

I've wanted to move back for years.
But your state has gotten as bad politically as mine--and the housing/job market is downright scary there.
I think I will stay put for awhile longer.
In fact--I think Texas will go blue before AZ does!
:hug: my friend.
This is not going to end well for a lot of folks.
My mom told me the house that I looked at for $275k a couple of years ago is around $80k now.:wow:

[lonestarnot]

3. People are so desperate we are experiencing strong armed robberies and some

are sent to the hospital today for being pistol whipped. It is going to be interesting to say the least. :hug: :hi:

[Horse with no Name]

6. Desperate people do desperate things

For some reason that I am an unaware, Texas is supposed to ride this recession out pretty well.
I believe when the dust settles (pun intended) that Phoenix will drop in size again and the people that came in to ride the prosperity/property wave to filter out to different states.
I think that will be the time to make the move.

[RB TexLa]

2. All pay option loan statements provide the fully amortized payment each month

These payment options were included in the original loan documents. The statement has all the options, the borrower chooses which payment they send in.

[lonestarnot]

4. I have no idea what you are talking about.

:D

[RB TexLa]

7. A pay option loan allows the borrower to choose their payment

A minimum payment which can create negative amortization

An interest only payment

A fully amortized payment, the payment that would pay the loan off after 360 payments

And usually a 15 year payment, the payment that would pay the loan off after 180 payments

The borrower chooses which payment they want to make each month.

[Horse with no Name]

8. Sounds like he is touting

personal responsibility.:D

[flvegan]

5. There's millions of those set to "blow" across the country.

Second wave, indeed.

[madrchsod]

9. my arm dropped from 5.5% to 3.3%

my arm can not go over 2% each year and can go no higher than 11% over the life of the loan.

i`m not sure what their arm interest rates are based on.

[marybourg]

10. Was pleasantly surprised to see the house across the street

from me in the far west valley sell in less than 2 weeks from the sign going up (NOT a foreclosure).

[Nikki Stone1]

11. Add that to the commercial real estate collapse

http://www.democraticunderground.com/discuss/duboard.php?az=view_all&address=385x385928

[lonestarnot]

12. Not good.

[Enthusiast]

13. Barney Frank forced the banks

to make loans to people that couldn't afford them.
































:hide: :rofl: :sarcasm: