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Americans Gambling on Rates With Most ARMs Since 2008

edited July 2013 in Off-Topic
http://www.bloomberg.com/news/2013-07-24/americans-gambling-on-rates-with-most-arms-since-2008.html

"“We’ve seen a shift in the way people look at adjustable-rate mortgages,” said Cameron Findlay, chief economist of Discover Financial Service’s home-loan unit. “They’re still skeptical about using ARMs, given the role they played in the financial crisis, but the sticker shock of what fixed rates have done is making them look for alternatives.”"

If people are having sticker shock when rates are at 4.5%, what does that say about the way things are?


Comments

  • The user and all related content has been deleted.
  • edited July 2013
    But Maurice- you said that you "have no problem with unabashed capitalism". Now you want Washington to abash it all of a sudden?

    Goodness Mo- and you called me a commie!

    Well, at least you've seen the light- better late than never.
  • "*HOMEBUYERS 'SHOCKED AND DISTURBED' BY RATE JUMP, TOMNITZ SAYS
    *D.R. HORTON CEO SAYS 'DISAPPOINTED' RATES ROSE SO 'VIOLENTLY'
    *D.R. HORTON CEO SAYS TRAFFIC COUNT HAS SLOWED SINCE RATE RISE"

    http://www.zerohedge.com/news/2013-07-25/dr-horton-real-impact-soaring-rates-shocked-homebuyers

    Again, finding the level of upset over rising rates rather telling about where things are - or people have gotten too used to rates at historically low levels? All I hear are relatives who talk about mortgages in the 7-8% range decades ago who not only had to do 7-8%, but they had to make choice that day because people were buying.
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