aguho, I admire people who live in their means and get a mortgage much less than they can afford. You are my role model.

You also made a light go off in my head: I read that 60% of San Diego purchases were ARMs, but how many ARM refis do we have? Is it possible that 20% or 50% of ALL San Diego homes are ARM refied????

I remember snooping through the foreclosure database, and found 3 foreclosures in Poway, whose owners bought in 1982 – 1985, and started refinancing all the equity out during the housing boom years. I don’t know what kind of loan they got, but those wouldn’t count as new purchase loans, right?

This ARM thing could be bigger than the $2 trillion. Is it? Does anyone know what is included in the $2 trillion resets in the next 18 months? CA led the nation in ARMs, so how many are in SD County?