Comments on: Video: How Millions of American Will Lose Their Homes – Courtesy Of The Option ARM http://www.arizonahousingbubble.com/2007/video-how-millions-of-american-will-lose-their-homes-courtesy-of-the-option-arm/ The Arizona Housing Bubble And Credit Crisis From A Consumer's Point Of View Mon, 05 Dec 2011 20:33:13 -0700 hourly 1 http://wordpress.org/?v=3.1.4 By: Countrywide Tightens Their Belt And Eliminates The Option ARM. The Real Question Is WHY Has It Taken This Long? | The Arizona Housing Bubble | Watching The Arizona Real Estate, Credit, Lending, And Mortgage Crisis From A Consumer's Point Of View http://www.arizonahousingbubble.com/2007/video-how-millions-of-american-will-lose-their-homes-courtesy-of-the-option-arm/comment-page-1/#comment-512 Countrywide Tightens Their Belt And Eliminates The Option ARM. The Real Question Is WHY Has It Taken This Long? | The Arizona Housing Bubble | Watching The Arizona Real Estate, Credit, Lending, And Mortgage Crisis From A Consumer's Point Of View Tue, 26 Feb 2008 18:54:33 +0000 http://www.arizonahousingbubble.com/2007/video-how-millions-of-american-will-lose-their-homes-courtesy-of-the-option-arm/#comment-512 [...] year I touched on what an Option ARM is (also referred to as Neg-Am [Negative Amortization]) and how millions may lose their homes as a result of them being pushed on those who already cannot afford a home. If you look at the [...] [...] year I touched on what an Option ARM is (also referred to as Neg-Am [Negative Amortization]) and how millions may lose their homes as a result of them being pushed on those who already cannot afford a home. If you look at the [...]

]]> By: Countrywide Tightens Their Belt And Eliminates The Option ARM. The Real Question Is WHY Has It Taken This Long? | The Arizona Housing Bubble | Watching The Arizona Real Estate, Credit, Lending, And Mortgage Crisis From A Consumer's Point Of View http://www.arizonahousingbubble.com/2007/video-how-millions-of-american-will-lose-their-homes-courtesy-of-the-option-arm/comment-page-1/#comment-513 Countrywide Tightens Their Belt And Eliminates The Option ARM. The Real Question Is WHY Has It Taken This Long? | The Arizona Housing Bubble | Watching The Arizona Real Estate, Credit, Lending, And Mortgage Crisis From A Consumer's Point Of View Tue, 26 Feb 2008 18:54:33 +0000 http://www.arizonahousingbubble.com/2007/video-how-millions-of-american-will-lose-their-homes-courtesy-of-the-option-arm/#comment-513 [...] year I touched on what an Option ARM is (also referred to as Neg-Am [Negative Amortization]) and how millions may lose their homes as a result of them being pushed on those who already cannot afford a home. If you look at the [...] [...] year I touched on what an Option ARM is (also referred to as Neg-Am [Negative Amortization]) and how millions may lose their homes as a result of them being pushed on those who already cannot afford a home. If you look at the [...]

]]> By: MG http://www.arizonahousingbubble.com/2007/video-how-millions-of-american-will-lose-their-homes-courtesy-of-the-option-arm/comment-page-1/#comment-496 MG Thu, 24 Jan 2008 22:55:44 +0000 http://www.arizonahousingbubble.com/2007/video-how-millions-of-american-will-lose-their-homes-courtesy-of-the-option-arm/#comment-496 Dave, excellent song! I think I'm going to fit this into the next article :) Dave, excellent song! I think I’m going to fit this into the next article :)

]]> By: Dave G http://www.arizonahousingbubble.com/2007/video-how-millions-of-american-will-lose-their-homes-courtesy-of-the-option-arm/comment-page-1/#comment-495 Dave G Thu, 24 Jan 2008 22:38:58 +0000 http://www.arizonahousingbubble.com/2007/video-how-millions-of-american-will-lose-their-homes-courtesy-of-the-option-arm/#comment-495 you might enjoy my "housing bubble" song/video http://www.youtube.com/watch?v=Ivp4YqGCI-s unless your rate just reset.... you might enjoy my “housing bubble” song/video

http://www.youtube.com/watch?v=Ivp4YqGCI-s

unless your rate just reset….

]]> By: Video Author http://www.arizonahousingbubble.com/2007/video-how-millions-of-american-will-lose-their-homes-courtesy-of-the-option-arm/comment-page-1/#comment-133 Video Author Sat, 25 Aug 2007 02:23:08 +0000 http://www.arizonahousingbubble.com/2007/video-how-millions-of-american-will-lose-their-homes-courtesy-of-the-option-arm/#comment-133 Yep - these things were insane!! All the incentives and none of the responsibility! armcrash.com is my site where i originally posted it Yep – these things were insane!! All the incentives and none of the responsibility!
armcrash.com is my site where i originally posted it

]]> By: Noreel http://www.arizonahousingbubble.com/2007/video-how-millions-of-american-will-lose-their-homes-courtesy-of-the-option-arm/comment-page-1/#comment-127 Noreel Fri, 24 Aug 2007 18:13:53 +0000 http://www.arizonahousingbubble.com/2007/video-how-millions-of-american-will-lose-their-homes-courtesy-of-the-option-arm/#comment-127 The profits on Option ARMS was insane to but it very lightly. I remember the broker i worked for our average profit per deal was 1% to 1.5% but our profit per Option ARM was a guaranteed 3.75% (we only did Option ARM with one lender that guaranteed us the highest profit). It was a no brainer to sell the Option ARM. But the Option ARM did have its advantage for homeowners in Southern California. When homes cost at least $500,000 and you are working in a competitive and high chance of changing jobs (like Software Engineering, Sales, or Small Business Owner) you need a flexible mortgage. The profits on Option ARMS was insane to but it very lightly.

I remember the broker i worked for our average profit per deal was 1% to 1.5% but our profit per Option ARM was a guaranteed 3.75% (we only did Option ARM with one lender that guaranteed us the highest profit).
It was a no brainer to sell the Option ARM.
But the Option ARM did have its advantage for homeowners in Southern California. When homes cost at least $500,000 and you are working in a competitive and high chance of changing jobs (like Software Engineering, Sales, or Small Business Owner) you need a flexible mortgage.

]]> By: ultralame http://www.arizonahousingbubble.com/2007/video-how-millions-of-american-will-lose-their-homes-courtesy-of-the-option-arm/comment-page-1/#comment-119 ultralame Thu, 23 Aug 2007 00:09:17 +0000 http://www.arizonahousingbubble.com/2007/video-how-millions-of-american-will-lose-their-homes-courtesy-of-the-option-arm/#comment-119 gcrawl: The payments they make do not fully cover the interest assessed over each period. The remaining amount is then added to the principle each month. Like a giant credit card you can only pay the minimum on… A lot of blame does ride on the shoulders of the borrowers; but when I was shopping around for a new loan, I encountered A LOT of unscrupulous reps working for large, established lending organizations. Even though I knew the right questions to ask, I was routinely lied to and misled. At one point I was offered one of those 1% loans. He claimed it was 1% APR for 3 years, then 3% APR for two years and then it would be prime. I had never actually seen a 1% APR loan; so I asked him to send me the paperwork. He kept his B.S. up even though what I was looking at was one of these B.S. negative amortization loans. I am scared to think about how many people were lied to by these lenders. gcrawl: The payments they make do not fully cover the interest assessed over each period. The remaining amount is then added to the principle each month. Like a giant credit card you can only pay the minimum on…

A lot of blame does ride on the shoulders of the borrowers; but when I was shopping around for a new loan, I encountered A LOT of unscrupulous reps working for large, established lending organizations. Even though I knew the right questions to ask, I was routinely lied to and misled.

At one point I was offered one of those 1% loans. He claimed it was 1% APR for 3 years, then 3% APR for two years and then it would be prime. I had never actually seen a 1% APR loan; so I asked him to send me the paperwork. He kept his B.S. up even though what I was looking at was one of these B.S. negative amortization loans. I am scared to think about how many people were lied to by these lenders.

]]> By: gt http://www.arizonahousingbubble.com/2007/video-how-millions-of-american-will-lose-their-homes-courtesy-of-the-option-arm/comment-page-1/#comment-114 gt Wed, 22 Aug 2007 19:27:44 +0000 http://www.arizonahousingbubble.com/2007/video-how-millions-of-american-will-lose-their-homes-courtesy-of-the-option-arm/#comment-114 Hahaha suckers! Hahaha suckers!

]]> By: Vince Maddox http://www.arizonahousingbubble.com/2007/video-how-millions-of-american-will-lose-their-homes-courtesy-of-the-option-arm/comment-page-1/#comment-113 Vince Maddox Wed, 22 Aug 2007 19:27:20 +0000 http://www.arizonahousingbubble.com/2007/video-how-millions-of-american-will-lose-their-homes-courtesy-of-the-option-arm/#comment-113 That's completely messed up that the lenders get paid more to sell these types of products. My sister was shopping for a house and the guy about to do her loan contacted her on the phone and she got suckered in. She's still making payments, but she's upside on her house by at least $70,000 according to her last call to her agent. The guy that did her loan isn't even working at that company 4 months later and nobody else will return her phone calls. That’s completely messed up that the lenders get paid more to sell these types of products.

My sister was shopping for a house and the guy about to do her loan contacted her on the phone and she got suckered in. She’s still making payments, but she’s upside on her house by at least $70,000 according to her last call to her agent.

The guy that did her loan isn’t even working at that company 4 months later and nobody else will return her phone calls.

]]> By: gcrawl http://www.arizonahousingbubble.com/2007/video-how-millions-of-american-will-lose-their-homes-courtesy-of-the-option-arm/comment-page-1/#comment-112 gcrawl Wed, 22 Aug 2007 19:25:41 +0000 http://www.arizonahousingbubble.com/2007/video-how-millions-of-american-will-lose-their-homes-courtesy-of-the-option-arm/#comment-112 Wait, so you make payments each month but the amount you owe goes UP? How is that legal? Wait, so you make payments each month but the amount you owe goes UP?

How is that legal?

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