Help on my mortgage options....

[iamwiz82]

Our mortgage is VERY close in total, we have a 30 yr @ 6%, and we pay PMI and insurance in the mortgage, and pay less than that per month. Our taxes are slightly higher, as well.

 

[Kelemvor]

ARMs can bite you in the ass bigtime if the rates go up. But I'd do anythign to not pay PMI sinc eit's just a scam for you to throw money away.

I'd check a couple other banks or places that ONLY do mortgages and see what they can do about the rates.

 

[spacejamz]

Originally posted by: FrankyJunior
ARMs can bite you in the ass bigtime if the rates go up. But I'd do anythign to not pay PMI sinc eit's just a scam for you to throw money away.

I'd check a couple other banks or places that ONLY do mortgages and see what they can do about the rates.

Foreclosures are up significantly in the Dallas area as the adjustable rates are now kicking in and some of these homeowners are now complaining that they did not know what an adjustable rate mortgage is...

 

[alkemyst]

Originally posted by: FrankyJunior
ARMs can bite you in the ass bigtime if the rates go up. But I'd do anythign to not pay PMI sinc eit's just a scam for you to throw money away.

I'd check a couple other banks or places that ONLY do mortgages and see what they can do about the rates.

PMI is not really a scam. It's designed to protect the bank in case of a non-payment of the initial note. A lot of times whether you do PMI or a 80/20, 90/10 etc, the monthly payment will work out about the same. The benefit of holding two loans, however; is that the interest is a write off...PMI is not. PMI will go away once you have passed the 80% LTV ratio, a second mortgage is usually a 15 year term. It depends on a few variables to determine what's really right for one's situation.

To spacejamz: Texas has proven time and time again that the whole state is a bunch of idiots when it comes to their finances. This is the reason home-equity lines were considered 'predatory lending' in TX. They just don't understand that loans have to be paid back and if you are securing one with your home, they can take it if you don't pay.