So Linda saw a few episodes of ‘Flip this house’ and decided she was going to get rich quick and be a real estate baroness. Woops!
An old rule of thumb about gambling comes to mind: "If you can't afford to lose the money, then don't gamble."
My heart goes out to all those people who own three times as much real estate as I do and want me to help them pay for their holdings.
seems like a whole lot of boo-hoo over a very small percentage of the market....
What is with all these quotes from people who “didn’t understand” that when their monthly payment got cut in half but their interest rate stayed the same, they were probably not paying down the principal in quite the same way??
I can’t fathom the idea of taking on a six figure liability without taking 30 seconds to plug the numbers into a loan calculator to see if they make sense. Nor can I feel particularly sorry for those who fail to do so.
Hillary will be presented as the savior who, with her financial smarts and options trading, will fix all of this. The day after the election, no more stories about the homeless, no more stories about the morons who financed 750K without knowing what they were doing.
His father bailed out the Savings & Loan industry. This Bush may bail out the Mortgage industry.
As low as interest rates have been, there is no reason
for anyone to get an interest only loan.It’s just nuts. People just refuse to live within their means, and think they have to have homes way out of their price ranges.
Before I became disabled, I sold real estate and unless the rate was at the 10 or 11% range, I almost always told people to get a fixed rate, or do a 2-1 buydown, where they would know exactly where their interest rate would be in 3 years.A few people who didn’t plan on staying in their house very long opted for arms when rates were at 10. Some of them refinanced when rates went down and it worked out well.I would have rather not made a sale than to have people in financial trouble down the road.
As low as interest rates have been, there is no reason
for anyone to get an interest only loan.It’s just nuts. People just refuse to live within their means, and think they have to have homes way out of their price ranges.
Before I became disabled, I sold real estate and unless the rate was at the 10 or 11% range, I almost always told people to get a fixed rate, or do a 2-1 buydown, where they would know exactly where their interest rate would be in 3 years.A few people who didn’t plan on staying in their house very long opted for arms when rates were at 10. Some of them refinanced when rates went down and it worked out well.I would have rather not made a sale than to have people in financial trouble down the road.