jackson
09-10-2007, 03:06 AM
I think option arms are bad products specially on a primary house. If used should only be used on investment properties..Pro low payment...
Cons..Balance of mortgage will go up tremendously.
IF your house doest appreciate at least 8-10% a year you could owe more than what you borrowed if you did 100%
The only advantage to an "option ARM" is low initial payments. Everything else about them are negative.