We did. We originally were planning to sell our house within 3-4 years of the ARM, but due to changes in our lives, that was no longer in the cards. We refinanced our home last year with a fixed, 20-year loan.
we have always had a fixed loan we did it the old fashioned way saved 20% down the whole nine yards... my sister had an arm but she negotiated with her mortgage company this summer to fix it at 4.25%. so she was excited about that. with out getting it on a fixed she said now her payments would have been clost to 4 grand a month wich is nuts.
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SILENCE IS GOLDEN BUT DUCK TAPE IS SILVER.
they tried to convince me and dh to get an arm. They also tried to convince us we could afford "more" house. we told them we would tell them what services we wanted not the other way around. of course that was over 13yrs ago.
We have never purchased a home with anything but a fixed 30 year loan...except our rental house in TX. We put down 20% and did a fixed rate for 5 years where we just pay the interest. We will either readjust in 5 years or sell the home depending on if we have renters or not.
Those ARM ones scare me. I have overheard so many Moms at the park and other play areas here in the San Diego area over the last two years crying to their friends because they were in a position of having to either short sell their home or go bankrupt because they started off with these ARM loans or adjustable loans and now they can't afford to pay their mortgage and they won't be making any money off of selling their home because the market has changed a lot here in SD over the past couple of years. So sad!
We have an ARM. It is not sub-prime so I am not worried about it too much. We do qualify for refinancing so if we don't have to move in the next year we will refinance.
We had an ARM until last month!!! YAHOO!! Luckily we were able to get it into a fixed rate. The lady that did our closing told us ARMs and the interest only loans were bad ideas. I feel a HUGE burden has been lifted from the ARM being over. Plus we got to skip 2 house payments....good since my dh will be on shut down for 3 weeks in Dec.
Who has an adjustable rate mortgage they are afraid of?
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