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View Full Version : option arms reset to send gold to the moon?


Steal
7th July 2010, 04:02 PM
another interesting article. Seems all is quiet on the front this summer, think America has even forgot all about the millions of gallons daily pouring into the once pristine gulf....

Just as 2007 and 2008 were the years of subprime woes, 2010 will go down as the year of option adjustable rate mortgage (ARM) resets. This crisis is about to unleash a fury no one’s prepared for. It won’t be as bad as subprime — it wll be worse!


gold to da moon (http://www.munknee.com/2010/06/the-coming-option-arm/)
Kali
7th July 2010, 04:11 PM
These option arm loans were suppose to start resetting in Feb this year. Haven't heard anything since.
Steal
7th July 2010, 04:40 PM
These option arm loans were suppose to start resetting in Feb this year. Haven't heard anything since.


Was what I though also, nothing mentioned in along time. Last airing that I can remember was back in 08'

http://www.youtube.com/watch?v=iUuROWEMjm0
osoab
7th July 2010, 05:11 PM
Don't forget about the Alt-A's

http://bp3.blogger.com/_pMscxxELHEg/RxzD0s_7EYI/AAAAAAAABB4/ljDSXZhMG3o/s400/IMFresets.jpg
Skirnir
7th July 2010, 06:47 PM
Two things in play - first, foreclosure is a delayed reaction to the interest rate hike on Alt-A and option ARMs. Second, banks are sitting on much inventory, thus delaying the adjustment in the real estate price that will put many mortgages underwater triggering possible strategic defaults.
Kali
7th July 2010, 07:47 PM
Yep, banks are sitting on a ton of inventory right now. RE prices in my area have went up since there is little inventory on the market.

I'm in the thought process of selling my home and buying a ranch. Not much ranch inventory though either.

I can get around 50K more for my home today than I could 8 months ago due to lack of inventory...once they start opening the flood gates though its all downhill.
Skirnir
7th July 2010, 07:49 PM
Wise move; I do not count anything to truly be in my possession if I cannot load it in my car.
JohnQPublic
7th July 2010, 09:12 PM
Don't forget about the Alt-A's

http://bp3.blogger.com/_pMscxxELHEg/RxzD0s_7EYI/AAAAAAAABB4/ljDSXZhMG3o/s400/IMFresets.jpg


If we make it through the end of 2010,a nd the beginning of 2011, we may actually survive this. Of course the damage done, plus the derivatives bubble still left behind (plus sovereign, state and muni defaults) could still finish it off.