http://theapplepeeled.com/buyers/up-in-arms-why-many-are-foregoing-the-30-year-fixed-mortgage/?utm_source=subscriber&utm_medium=rss&utm_campaign=rss Manhattan Real Estate from the Inside Out Mon, 16 Jul 2012 18:00:38 +0000 hourly 1 http://wordpress.org/?v=3.2.1 http://theapplepeeled.com/buyers/up-in-arms-why-many-are-foregoing-the-30-year-fixed-mortgage/comment-page-1/#comment-950 Howard Lipset Wed, 30 May 2012 13:43:42 +0000 http://theapplepeeled.com/?p=2306#comment-950 Definitely agree that ARMs can be more advantageous. Most ARMs are interest only. It is important to make extra principal payments, I suggest to my clients that we calculate the 30 year fixed payment and then make that payment against an ARM. At today's rates, the monthly amortization will be almost equal to the interest. Therefore, you can take huge chunks out of the mortgage. Definitely agree that ARMs can be more advantageous.
Most ARMs are interest only. It is important to make extra principal payments,
I suggest to my clients that we calculate the 30 year fixed payment and then make that payment against an ARM. At today’s rates, the monthly amortization will be almost equal to the interest.
Therefore, you can take huge chunks out of the mortgage.

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