Perry – That is exactly what I am doing myself. I was in a 7 year interest only ARM and sold earlier this year. I’m now earning 6%+ on my proceeds and sending the earnings into 529 plans for my kids and maxing out our IRAs. I caught flak from family for selling and people generally considered me a fool at the time. Even when I explained about the college and retirement savings I received no love.
Further validation that I made the right decision came this week in the form of a reduced price on my old neighbors house. It is directly next door to the one we sold, 150 sqft. bigger with similar upgrades and is now selling for $100,000 less than our sales price.
