What is the deal with them? What makes them special vs. other mortgage types? Why are some pointing to this as an indicator that the housing market is in trouble, calling it desperate?
Any of the teeming millions have more in depth info on this?
I checked it out with e-trade. Basically, they charge about 6.5% (not a horrible rate in most markets) and allow you to keep that rate for 30 years and move the mortgage from house to house when you move.
I think its just a new product idea that has its ups and downs. For me personally, it wasn’t a good idea. But for some people who don’t want to be stuck in one house and are afraid of interest rate volitility, it may be just what the doctor ordered.
If you move it from one house to another, do you have to refinance? How to you allow for the equity build up when moving from one house to another?