[Rate_Determining_Step]

Ya, thanks for confirming this. I got a interest only ARM. I can pay more and do when I can that goes directly to the principle. My rate is locked for 5 years and then can only go up two percent.

Seeing was going to move in the next two years, this is the perfect product for me.

NOT TO MENTION, I'm in Seattle - arguably the most consistently hot market in the country. While everybody else is leveling out, we're still climbing. The geography of the Puget Sound is like an hourglass with all the action in the middle. I'm 10 miles from downtown.

Someone please tell me I made a bad move.

[agrarianlady]

Someone please tell me I made a bad move.

Well, my Northern VA neighbor thought the same thing two years ago, and now they want to move, have no paid-down equity, and can't get their price (house has been on the market a while with no lookers). So basically, it's like they rented from the bank, but instead of a $2,000 a month rent they paid $3000 a month plus upkeep.

What would a similar property to yours rent for per month, and what is your current monthly nut? That sometimes can clue you in to the fundamentals of your market.

[Mini-14]

Seattle is listed as a #10 on this guy's Potential Housing Bubble (7.5 to 10.0)
John Burns Real Estate Consulting Housing Cycle Barometer  An explanation of the table is proved here:  www.cepro.com/news/editorial/14925.html

[Mini-14]

[Jaysun]

Someone please tell me I made a bad move.

Brilliant move. I'd bet that your house payment is less than a decent 2 bedroom apartment in the area. And although it's hard to build much equity in 2 years, with a bit of luck you'll take some money with you when you move.