NSR is correct, the 25-50% gains in 5 years are for particular people moving up the salary scale. While overall wages would roughly increase by inflation, e.g. 15-20% over 5 years.
But for the person whose ARM re-sets in 3-5 years, she/he only cares about the individual job gains, not what someone in their former position is making.
I’d still like to see detailed demographics on ARMS, option ARMS, I/O’s and 100% financing, so that one could gauge the impact effectively. What are the odds that lenders or Fannie Mae release that info ???
