Ren: I hear you, but I think what we were saying is the 550K was inflated relative to the value of the house in maybe more historic average terms. I bought more out of excitement of owning a home and tired of Mesa Village Apts. Not the best way to make a financial decision huh.
FormerSanDiegan: I consider myself an expert at this loan stuff from what I knew in 06. But I still didn’t understand all your questions. I’ll tell you what I know about my loan, but I don’t want to assume this is a forum for free mortgage help or anything. Just trying to talk to others who’ve been around longer then me.
So I have good credit (780+) never been late on anything, including my current mortgage. I got an 75/25 1st 420k @ 6.85% then a 2nd 140k @ 8.65% with 2yr prepay (which is over now). I haven’t paid down more then a few thousand on the second and none on first as it’s interest only (fixed for 5yrs, IO for 10yrs). I’m not sure what you mean my “margin” and “index,” but hell 5.5% sounds good to me, but as I understood it the loan’s rate when it resets is not the advertised 20% down rate you see everywhere, it’s always way higher?
