Home Price Corrections?

Jun 21 2006

Are the home-price corrections coming?

If you haven’t bought a house yet, some good deals might be coming…

In 2003, Anita Britten refinanced her two-story brick cottage in Lithonia, Ga. using a hybrid adjustable rate mortgage, or ARM. Her lender reassured her that she could refinance out of the riskier loan into a traditional one when her interest rate started to reset.

Three years later, Britten can’t get a new mortgage and her monthly payment has jumped by a third in six months. She can’t afford her payments and may face foreclosure if her financial situation doesn’t change.

Foreclosures may jump as ARMs reset

Comments are off for this post