Reply #15: I have an ARM, started at 5.18%, now at 7.13%, only 18 months ago... [View All]

[Nimrod2005]

I am able to afford the higher monthly payments, but what bothers me BIG TIME, is that my rate right now is higher than one could get on the open market for a 30 year fixed...The whole damn idea for an ARM is to have lower per month payments, not HIGHER!!!

I called them to bitch, basically they don't care, in fact they want me to get mad and refinance, because I have a $16K cost/penalty for refinancing before the 36 months limit we have.

All in all, I knew what I was getting into, and I knew I could afford higher payments if I have to, but don't like to be paying more than market price, I have 18 more months to go like this...I started paying more toward the principle every month...I am hoping 18 months from now, I can refinance into a fixed rate, my balance will be much lower, and I can live happily ever after...


Peace!