On Sun, 25 Mar 2007 10:09:03 -0400, "Nancy Young"
wrote:


Don't fall for those interest only mortgages, if you can't afford the
house with a regular mortgage, usually you should not be buying one.

Yes, for sure. A million homes foreclosed last year, representing I
guess about 4 million people, over 1% of the population, in just one
year. Millions more expected in years to come. Of course that is
because this is the first big? downturn in the economny or interest
rate increase since they started writing in this case, I think most
were adjustable rate mortgages. ARM's with no fixed interest rates.

Didn't interest only come later, so we will soon see many foreclosures
(and evictions of course) on those. Because those people are paying
even less. Even ARM's applied something to the principal every month,
although it is almost all interest for the first years.

I'm almost always an optimist, but imagining that interest rates won't
go up is not just optimism, it's foolish dreaming,