Home › Forums › Financial Markets/Economics › Is it ALT-A turn
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DWCAP.
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March 10, 2008 at 12:51 PM #167219March 10, 2008 at 1:07 PM #166820
(former)FormerSanDiegan
ParticipantLIBOR Index Watch …
Rate resets for loans originated in the 2003 – 2006 time frame for Alt-A or prime loans were typically based on the 6-month or 1-year LIBOR index, with margins of typically 2.25%.
Current 1-year LIBOR index : 2.71%
This means that loans re-setting in the near future are likely to re-set at rates in the low 5% range. Some folks who took out 5-year ARMs in 2003 will have their loans reset lower than their original rate.
They may still be in tenuous condition as short-term rates could spike in the next couple of years. But one must consider what prevailing rates are re-setting, not just the fact that x billion dollars in loans will re-set and assume that all the buyers are screwed.
March 10, 2008 at 1:07 PM #167141ParticipantLIBOR Index Watch …
Rate resets for loans originated in the 2003 – 2006 time frame for Alt-A or prime loans were typically based on the 6-month or 1-year LIBOR index, with margins of typically 2.25%.
Current 1-year LIBOR index : 2.71%
This means that loans re-setting in the near future are likely to re-set at rates in the low 5% range. Some folks who took out 5-year ARMs in 2003 will have their loans reset lower than their original rate.
They may still be in tenuous condition as short-term rates could spike in the next couple of years. But one must consider what prevailing rates are re-setting, not just the fact that x billion dollars in loans will re-set and assume that all the buyers are screwed.
March 10, 2008 at 1:07 PM #167145ParticipantLIBOR Index Watch …
Rate resets for loans originated in the 2003 – 2006 time frame for Alt-A or prime loans were typically based on the 6-month or 1-year LIBOR index, with margins of typically 2.25%.
Current 1-year LIBOR index : 2.71%
This means that loans re-setting in the near future are likely to re-set at rates in the low 5% range. Some folks who took out 5-year ARMs in 2003 will have their loans reset lower than their original rate.
They may still be in tenuous condition as short-term rates could spike in the next couple of years. But one must consider what prevailing rates are re-setting, not just the fact that x billion dollars in loans will re-set and assume that all the buyers are screwed.
March 10, 2008 at 1:07 PM #167177ParticipantLIBOR Index Watch …
Rate resets for loans originated in the 2003 – 2006 time frame for Alt-A or prime loans were typically based on the 6-month or 1-year LIBOR index, with margins of typically 2.25%.
Current 1-year LIBOR index : 2.71%
This means that loans re-setting in the near future are likely to re-set at rates in the low 5% range. Some folks who took out 5-year ARMs in 2003 will have their loans reset lower than their original rate.
They may still be in tenuous condition as short-term rates could spike in the next couple of years. But one must consider what prevailing rates are re-setting, not just the fact that x billion dollars in loans will re-set and assume that all the buyers are screwed.
March 10, 2008 at 1:07 PM #167239ParticipantLIBOR Index Watch …
Rate resets for loans originated in the 2003 – 2006 time frame for Alt-A or prime loans were typically based on the 6-month or 1-year LIBOR index, with margins of typically 2.25%.
Current 1-year LIBOR index : 2.71%
This means that loans re-setting in the near future are likely to re-set at rates in the low 5% range. Some folks who took out 5-year ARMs in 2003 will have their loans reset lower than their original rate.
They may still be in tenuous condition as short-term rates could spike in the next couple of years. But one must consider what prevailing rates are re-setting, not just the fact that x billion dollars in loans will re-set and assume that all the buyers are screwed.
March 10, 2008 at 2:18 PM #166880farbet
ParticipantIs Ninja loans same as ALT A loans
March 10, 2008 at 2:18 PM #167201ParticipantIs Ninja loans same as ALT A loans
March 10, 2008 at 2:18 PM #167204ParticipantIs Ninja loans same as ALT A loans
March 10, 2008 at 2:18 PM #167237ParticipantIs Ninja loans same as ALT A loans
March 10, 2008 at 2:18 PM #167300ParticipantIs Ninja loans same as ALT A loans
March 10, 2008 at 2:18 PM #166885ParticipantIs Ninja loans same as ALT A loans
March 10, 2008 at 2:18 PM #167206ParticipantIs Ninja loans same as ALT A loans
March 10, 2008 at 2:18 PM #167211ParticipantIs Ninja loans same as ALT A loans
March 10, 2008 at 2:18 PM #167242ParticipantIs Ninja loans same as ALT A loans
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