How Much Risk Involved With Mortgages

Found a good article over at the Kipinger site on mortgage rates and the advantage for property owners, buyers and sellers. Below is a bit of the article. To read the full story click here.

(ARMs), which home buyers took out in droves over the past few years to stretch their purchasing power. Problem is, about $1 trillion in ARMs will lose their low, introductory fixed interest rates between now and the end of 2007, bringing sticker shock to many borrowers when they see their rates jump as much as 5 percentage points from one month to the next.

ZB