Yes, jp, not sure if it was an OPTION ARM, but probably. If so, this dumb couple just “elected” to pay Opt 1 or 2 instead of Option 3 (the fully amortized rate). That’s probably how their “payment shock” happened (neg am), lol. Of course, it was probably preventable.
Also, I stated the buyers had purchased in 2007. 2007 was the year Ali got his bar license. The article doesn’t actually specify, but from the timeline, it now appears to me that they bought sometime in late 2005.
Who the h@ll would pay that much for a tract house in Sacramento??
