Home › Forums › Housing › Effect of record low interest rates on Alt-A resets? › Libor is low too, mid-2s. So
Libor is low too, mid-2s. So with margin, overall looking around 5.25% or so.
The Alt-A killer on reset isn’t the reset, it’s the recast for the Option-ARMs when they lose their minimum payment option because they trip the cap.
Something like 2/3rds of the mortgage in SoCal in the last years of the bubble where option ARMS.
