Announcement

Collapse
No announcement yet.

Too much house?

Collapse
X
 
  • Filter
  • Time
  • Show
Clear All
new posts

  • #61
    I have one other question. How are you managing the risk of rising mortgage rates? Will you have a known fixed rate in advance with a construction loan that converts to a long term loan on house completion? Or will you simply ride out the market? How would you be affected if mortgage rates reach a crazy number when the house is finished? Say 7%, or 8%? 6% may be more likely, but I always like to look at potential downsides, to consider various scenarios.

    Comment


    • #62
      Originally posted by White.Beard.Doc View Post
      I have one other question. How are you managing the risk of rising mortgage rates? Will you have a known fixed rate in advance with a construction loan that converts to a long term loan on house completion? Or will you simply ride out the market? How would you be affected if mortgage rates reach a crazy number when the house is finished? Say 7%, or 8%? 6% may be more likely, but I always like to look at potential downsides, to consider various scenarios.
      Most of the banks were offering construction to perm with 10 year arm. But I managed to eventually find one bank than gave me 30 yr fixed at 3.875%, so that's what we got

      Comment

      Working...
      X