Everybody Has The Same Trade On
These investors seem to forget they are not brilliant and that they are not the first person on the planet to have thought of buying real estate and then turning around and selling it.
Snip..
[If home prices took a U-turn, investors financing their deals with riskier mortgage loans could find themselves owing more than their property is worth. And that could matter if they need to sell a property fast or cash in on some equity to foot other bills. Zero-down payment loans, interest-only loans, adjustable rate mortgages or so-called option ARMS are all popular with investors here, local investors and brokers say.
Jason Beacham, the 22-year-old broker, said he used standard zero-down, five-year adjustable rate mortgages to buy his two homes. He's not worried about his $410,000 in mortgage debt because he plans to sell before the interest rate starts floating at the five-year mark. Beacham said he expects the homes to appreciate at least 8 percent annually, given their locations in Savage and Bloomington. He's avidly searching for more.
"If I'm in trouble then there's a lot of people who are even in more trouble than I am," Beacham said.]
More...
Snip..
[If home prices took a U-turn, investors financing their deals with riskier mortgage loans could find themselves owing more than their property is worth. And that could matter if they need to sell a property fast or cash in on some equity to foot other bills. Zero-down payment loans, interest-only loans, adjustable rate mortgages or so-called option ARMS are all popular with investors here, local investors and brokers say.
Jason Beacham, the 22-year-old broker, said he used standard zero-down, five-year adjustable rate mortgages to buy his two homes. He's not worried about his $410,000 in mortgage debt because he plans to sell before the interest rate starts floating at the five-year mark. Beacham said he expects the homes to appreciate at least 8 percent annually, given their locations in Savage and Bloomington. He's avidly searching for more.
"If I'm in trouble then there's a lot of people who are even in more trouble than I am," Beacham said.]
More...
posted by Little_Silvered at 6:29 PM
2 Comments:
There shouldn't be 22 year old broker/flippers
LMAO
Great point and this is why I come back to this blog.Back to my studies on adjustable loan missouri mortgage rate.Stop by,adjustable loan missouri mortgage rate.
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