Ray: I agree with you. Techno: I think you missed my point. Buying and holding a house for 5 years may or may not be a good idea; there are financial and sujective criteria to consider, and the point of my post was not to recommend one option over the other.
Instead, the point made by Greenspan and others is that if (for whatever reason, right or wrong) you decide to buy and hold for less than 5 years, then you’re better off with an ARM that doesn’t reset before those 5 years are up.
Such recommendation is essentially based on actual purchase patterns: it can’t be denied that a sizable percentage of homeowners relocate every 4 to 7 years. Whether that’s advisable or not, is of course a different matter altogether.
