$1.5 Trill ARMS face 10 to 50% payment increases in US

tag:blogger.com,1999:blog-10267321.post-50094238871185806202007-02-20T10:03:00.000-08:002007-02-20T10:05:26.283-08:00$1.5 Trill ARMS face 10 to 50% payment increases in US<DIV> This sounds scary, which it is for the banks holding the mortgages in the US but it won't have a huge impact on the economy in the US as rising wages offset the weaknesses being created by the higher interest rates.. RISMEDIA, Feb. 20, 2007-Many households that took advantage of "teaser rate" loans-types of adjustable rate mortgages that hold down payments<A id=more-20792></A> for an initial period, are facing resets of their interest rates that can cause monthly payments to balloon upward of 10% to 50% as reported recently by realestatejournal.com. A $1 million mortgage taken out 30 months ago that started at $2,528 per month, could jump to just under $7,000 per month. According to the Mortgage Bankers Association, there are about $1.1 trillion to $1.5 trillion in ARMs that will face rate increases this year..... <A href="http://www.rismedia.com/wp/2007-02-19/adjustable-rate-loan-resets-skyrocketing-mortgage-payments-for-homeowners/">Read the full story</A> Greg</DIV><div class="blogger-post-footer"><img width='1' height='1' src='https://blogger.googleusercontent.com/tracker/10267321-5009423887118580620?l=www.bchome.info%2Fblog%2Fblog.htm'/></div>Greg Viger - Mortgage Prohttp://www.blogger.com/profile/12393202672209893482noreply@blogger.com